What is a Continuous Import Bond & How Does it Work?by Samuel C. Customs Advisor
There are for the most part two kinds of bonds for importers – Single Section Bond and Continuous Import Bond.
As the names propose, the single section bond is legitimate for just a single importation to will, in general, make inside a year while a continuous import bond is substantial for different imports for a year. Contingent upon how regularly one import in the US, he/she can decide to secure a bond each year or each time the individual in question imports payload.
The primary motivation behind these bonds is it guarantees the CBP that it will ready to gather all due monies from the importer or protection/surety organization that gave the bond. One can acquire a bond through an authorized dealer or surety organization. The expense of the bond relies upon the sort of bond, worth, and kind of wares.
For organizations that ship as often as possible, transportation costs are a big deal. Universal shipments get expensive rapidly and the procedure can regularly be a cerebral pain. Any organization that imports are required to include customs bonds into their blend of required buys.
Customs Bond Options
A customs bond is a government-issued bond that grants a company or person the ability to import goods with a commercial value above $2,500. When it comes to customs bonds, you or your companies have two options:
Single-Entry Customs Bond
Continuous Customs Bond
A Solitary Section or Single-Exchange customs bond is a customs bond that is substantial for one shipment. As it were, on the off chance that you were importing a holder with business esteem above $2,500, the shipment would be bonded. If you somehow happened to buy a solitary section or single-exchange customs bond, it would cover this shipment. Be that as it may, it would just cover that shipment. For some other shipments, you would need to get extra single-passage "customs surety bond".
A Continuous or Yearly customs bond is a customs bond that is substantial for all shipments that occur inside 1 year after the date of acquisition of the bond. When the bond has been bought, all shipments throughout the following 365 days are considered "bonded" and are secured by your yearly customs bond. Make a point to comprehend the bond restoration process so you don't wind up with a terminated bond!
Importance of Continuous Customs Bonds
Which custom bond you select will greatly depend on your company’s shipping situation. As you might imagine, single-entry bonds are great for companies that do not ship very frequently. If you are moving a couple of containers per year, the cost of obtaining a few single-entry bonds will be far cheaper than an annual “301 customs bond”. If your company ships more frequently, continuous customs bonds may be a cheaper solution.
Created on Nov 23rd 2019 00:45. Viewed 211 times.