Saw a person interviewed on TV who said that he purchased some unavailable in Canada hand cream from an online U.S. vendor for $100. When the merchandise arrived, the delivery service (FedEx?) asked for an extra $43 for "brokerage fees". What are these "brokerage fees"?
Importing Things From The U.S.
- Thread starter SkyRider
- Start date
They are Fed Ex's and UPS's way of GOUGING the shit out of consumers and making a lot of money. It's absolutely criminal what the big couriers do. Not unusual to see "brokerage fees" in the area of 50% or more. I think UPS and FED Ex can't jack the prices too much on just the shipping becasue there is too much competition, but once they have your package, they have you by the balls and they can charge you large and they do.
I buy a lot of car parts from suppliers in the USA. I always tell them to send it US Post because there are no brokerage fees. It takes a couple days longer to get here, but so what. Unless I absolutely need a part, I can wait. Usually, I'm in the middle of a rebuild and time is not of the essence.
There are no taxes other than HST. Some things may have a duty, but Canada / US post can handle that too.
Trust me, I import thousands of dollars in parts annually from the US for cars I'm working on. Always go US Post and there are no brokerage fees.
Sounds like good advice. U.S. Post is the way to go. BTW: Are they affected by the U.S. federal government shutdown?
All brokers are scams and gougers. Its a huge money maker for doing literally nothing. We use well known white and white, they may be a little cheaper for larger clients but are still a scam in my opinion.
Yes +1.
USPS is the best way to go as half or more of the packages come through without any duty and taxes, and the ones that do get assessed have a reasonable fee added by Canada Customs, not extortion like Fedex and UPS charge.
Note, UPS red label next day Air waves UPS's extortion fees. Of course 99% of volume is the ground service 'standard'.
Add to that even if you hire a broker.....and they fuck up your paperwork and the CBSA or U.S Customs gets involved.YOU get all penalties because they are your representative.I'm speaking from experience when I say good luck in court with sueing them for the amount assessed
As has been stated here it's a big rip off and whenever I can I always ask the sender to use US Postal Service. However it's becoming more common now to order from places that will includes all taxes/fees for Canadian purchasers. I've had that from a few different places. I also recently ordered something that came by UPS Express Air (or something like that) and to my surprise the Brokerage Fees were included. UPS Ground does NOT include brokerage fees and end up being far more expensive than some of their quicker options.
Investigate your shipping options before you order anything. Many online places will not use USPS so look over the options they give you.
Investigate your shipping options before you order anything. Many online places will not use USPS so look over the options they give you.
Yes, but UPS Air is considerably more expensive when shipping anything other than an envelope.
Still cheapest via US Postal Service
When I Ebay out of the US, I always ask if they will ship USPS.. If they won't, I won't bid. UPS charges $40 " brokerage fee" plus HST.. It's a hold over from "back in the day" when it really DID require a customs broker to figure out the correct tarrifs.. But to charge $40 to figure out a standard tax and remit it on my behalf AND charge for shipping.. I don't think so.. The odd shipper may have an a ccount with them that covers the brokerage fee, but always check first!
I do the same thing.
Also, if you're comparing items and one is via ground shipping and one via air, factor that into your bid price. I have yet to be charged any extra duties for air shipped items.
It is neither a tax, nor is it duty. It is simply a charge for the couriers to process the goods through customs. ANd as has been stated, just a profit pad for the couriers. USPS is the way to go if you can.
Well something is missing. I've brought in all sorts of products and never been hit with 40% extra. It may have something to do with the items, but I've electronics, clothing, mechanical parts, even item similar to your creams. A number of times I've been hit with charges in the range of 10%. Mailing or sending ANYTHING is horrendously expensive these days. The companies will hid it in the fees or show you up front. Have you seen the price of aviation fuel? All items from the US are flown in now. No ground delivery options now.
If youre willing to do the leg work your self, its free. Have the shipper mark "Customs clearance by receiver only" on the out side of the package, and fax/email you an invoice. Go to a Canada Customs office, and clear the packeage yourself.
That simply isn't true. I've had lots of stuff come to me by USPS ground and UPS ground (avoid at all costs - this has really high brokerage fees)
