Rate confirmation glossary: the terms that cost truckers money
A rate confirmation is short, but a few lines in it decide whether a load makes money. This glossary explains each term in plain English, what the wording usually means, and what to ask the broker to change before you sign.
Each entry covers one term carriers run into on broker rate cons: what it means, the wording to look for, what the Rate Con Checker flags, and a sentence you can send the broker. Where a federal rule is relevant (hours of service, broker records, the broker bond, the cargo claims process), the entry quotes it from the Code of Federal Regulations and links to it. Where something is a business practice rather than a rule, such as factoring or quick pay, the entry says so.
The Rate Con Checker runs 20 rules over a pasted rate con, in your browser, and grades it. Every "what the checker flags" note in this glossary describes those rules exactly, including their default thresholds (for example: detention under $50 an hour, more than 2 free hours, payment terms over 30 days, a single fine of $500 or more). Those defaults are settings you can change in Pro, not industry standards.
Start with what a rate con is if you're new to brokered freight. Otherwise jump to the term you're looking at.
Rate confirmation (rate con)The load-level contract you sign with a broker.DetentionPay for waiting past the free time at a shipper or receiver.TONU (truck ordered, not used)A flat fee when a load is cancelled after you are dispatched.LayoverPay when the truck is held overnight or into the next day.Lumper feeUnloading fees paid at the dock, and who pays them back.Accessorial chargesEverything paid on top of line haul: detention, layover, TONU, lumper, stops.Fuel surcharge (FSC)A separate fuel line versus an all-in rate.Quick payFaster payment in exchange for a fee.Factoring and notice of assignment (NOA)Selling your invoices, and telling the broker who to pay.Double brokeringA carrier re-brokering a load it agreed to haul.Setoff (offset) clauseTaking money from one load's pay to cover another.Fines, deductions and chargebacksPenalties taken out of your pay.Check callsStatus updates the broker requires during the load.Tracking app requirementsMacroPoint, Trucker Tools, FourKites, project44, and the fines tied to them.FCFS vs. appointmentFirst-come, first-served windows versus set appointment times.Reefer temperature clauseThe temperature setting and mode for refrigerated loads.Cargo claims and liabilityLoss or damage claims, and whether they come out of your pay.Payment terms (net 30, net 45)How many days after paperwork you get paid.Indemnity clauseWho pays when someone sues, and whether it is mutual.Arbitration and venue clausesWhere and how disputes are decided.Driver assist / driver unloadWhen the driver must load, unload or count freight.Rate adjustment clauseLanguage that lets the broker change the rate after you sign.Sign-by deadlinePressure to sign within minutes.Broker MC/DOT verificationChecking the broker is who the rate con says it is.
Not legal advice. This page explains public rules and common contract terms in plain English; it is not a substitute for reading your own documents or asking a qualified professional. Rules change, so check the official source.