BMC-85

BMC-85 is the trust-fund alternative to the BMC-84 surety bond for satisfying the $75,000 federal financial responsibility requirement for freight brokers.

BMC-85 requires the broker to deposit $75,000 with a qualified trustee, typically a bank. The funds are held in trust and paid out against claims. The broker forfeits the use of the capital while the trust is in place but avoids the annual surety premium.

Most brokers choose BMC-84 over BMC-85 because the surety premium is materially less expensive than the opportunity cost of $75,000 in tied-up capital.

Why this matters for freight brokers

BMC-85 is the right choice for brokers with strong cash positions who want to avoid annual surety premiums. Less common in the small-broker segment.

Related terms

• BMC-84 — BMC-84 is the surety-bond form a freight broker files with FMCSA to satisfy the $75,000 federal financial responsibility requirement.
• Broker bond ($75,000 federal surety) — The freight broker bond is the $75,000 federal financial responsibility requirement FMCSA mandates for every property broker, satisfied via BMC-84 surety bond or BMC-85 trust fund.
• OP-1(P) — OP-1(P) is the FMCSA application form a freight broker files to obtain property broker operating authority.

Sources

• FMCSA broker registration