The financial side of any transaction is the most important for the consumer. Whenever you are moving, you should know the way movers charge. Most movers have the right to and do ask for moving deposit free when you book your move. It is a common moving companies practice especially in the big cities like New York and Chicago. Similar to any other bigger transaction you do, when booking a move it is often required that you put some money down to guarantee the finalization of the deal. Moving company deposit is a standard practice and thus don’t be confused when a mover asks for percentage of the move in advance. Moving services deposit is a legit action when booking a move in advance.
Movers deposit – standard practice when hiring a moving company
When a mover asks you for deposit don’t assume they are scam companies. Every moving company decides on their terms and conditions, and asking for deposit for moving has become a common movers’ practice all over the US. The deposit is an initial charge for moving your belongings locally or long distance. You can always ask them why they are asking for deposit, as well as their cancellation policy. The common answer you will get is that it is a company policy. Movers ask for deposit in order to get an assurance for the deal agreed upon, and to set their schedule. Big moving companies are busy and they cannot pledge to do a job if that job has not been guaranteed. Movers’ services and time cost money and they do not want to send a crew and discover that the customer has already moved or he it’s there. By having a deposit collected moving companies guarantee that the cost incurred in this case will be covered. The deposit amount will be deducted from the final moving costs. You can read more about moving fees and charges here.
No Deposit Movers
Most reputable movers require a deposit for moving homes. There are some smaller no deposit movers chat will not charge you a dime in advance. Usually the moving deposit means commitment.
Refundable and Non Refundable Moving Company Deposit
Depending on some factors, your moving deposit can be refunded or can be non refundable. Please note that the different moving companies may have different deposit policies.
- Refundable Moving Deposits
- If you notify your moving company that you want to cancel with them a certain period of time in advance, usually the moving deposit is fully refundable.
- If you decide to change your moving date to a date that does not fit the moving company schedule, the moving company will refund your moving deposit. Of course some movers may have a different policy if you do it last minute.
- Non Refundable Moving Deposits
- Usually a non refundable deposit is when the customer cancels the move less than a week before the moving day.
- A non refundable moving deposit may be if you are not present on the moving day and the movers cannot load your items.
You should always ask your movers about their deposits policy and the moving company advance notice requirements if you need to make changes to your moving dates. Ask them about the minimum initial charge for moving they are willing to take to schedule your move.
Moving Company Schedule
If you decide to change your moving date your move might be canceled from the moving company. Most movers have a strict moving company schedule that may not be able to fit your move in the desired date. This is very common if you decide to change your moving dates last minute
What is a reasonable moving company deposit?
Hiring moving company, especially in the busy season, means you will most likely have to put down a deposit. As we said, do not be suspicious to the movers deposit as long as it is a reasonable amount. How much is a reasonable movers deposit? Anywhere between $200 to $500 is a reasonable amount, but it does depend on the size of your move. For local moves, the deposit is usually less than for long distance move. Many moving companies though charge a percentage of the move, usually from 20 to 30 percent. Thus, the amount will depend on the size of your move. Some moving companies have set amounts for deposits during busy summer season and the slower winter season. Others have broken it down even to having different amount for movers deposit during the week and on weekends. Thus, it is good to consider when to move. If you want to save on moving cost, you should consider moving in off peak season.
Large Moving Company Deposit
Moving brokers often charge large moving company deposits!
If you are dealing with a moving broker you will definitely be asked for a deposit. In this case you may find yourself paying a fee to the broker and not the movers. While you may think that working with a broker is better, just like working with a real estate agents, it often means you will be paying a deposit fee. Most brokers charge deposits that you think you are paying the moving company, when in fact you don’t even know who the movers are until the day of the move. Thus, we don’t recommend using moving brokers or if you do, make sure you know the name of the actual moving company that is about to relocate you, so you can research it by yourself.
Let us know if you need more information about movers initial charges for moving or if you would like to share your moving company deposit experience.
Posted on Jan 24, 2012; Last updated: Apr 14, 2014
Topics: Paperwork & Regulation