A Customs Bond is an insurance policy that guarantees payment to U.S. Customs and Border Protection of all duties, taxes and fees due on an import shipment. All import entries valued at $2500 or more must be accompanied by a bond that sufficiently covers potential duties, taxes, and fees that may accrue.
There are two main types of importer bonds, also known as C1 bonds. An importer can choose to purchase a Single Entry Bond or a Continuous Bond.
A Single Entry Bond only covers one entry and the amount is determined by the value of the merchandise plus the duties, taxes, and other fees. If you are importing an ocean shipment and you do not have a continuous bond on file, you are required to have an Importer Security Filing (ISF) bond filed regardless of the value.
A Continuous Bond (also known as an Annual Bond) is 10% of duties, taxes and fees paid to Customs in a 12 month period. The minimum amount is $50,000. A Continuous Bond also fulfills an importer’s obligations to have an Importer Security Filing (ISF) bond on file.
C J offers our Clients the convenience of pre-paying for continuous bonds up to three years. The two and three year options provide a discount to the cost of the bond per year. The below rates are ONLY valid for a $50,000, C1 importer bond with no anti-dumping or countervailing entries.
1 year; $50,000 = $265.00
2 year; $50,000 (pre-paid) = $490.00 ($245.00 per year)
3 year; $50,000 (pre-paid) = $700.00 ($233.33 per year)
Please note, we also ask for a one-time Bond Application Fee of $90.
Even if you are not a current C J Client, we would be happy to discuss bond limits within the CBP guidelines and help you determine the best choice for your situation.