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How Moving Charges Are Determined

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Determining the cost of an interstate move was much simpler a decade ago. Back then, all moving companies charged the same rate based on the total weight of the shipment and the distance of the move. These rates--or tariffs--were set by the federal government. Shipment tonnage was determined by weighing the truck before and after the goods were loaded. This amount was multiplied by a predetermined rate. Upon delivery, the driver was paid in cash or by cashier's check. No matter who moved you, your cost was the same. Van lines competed on service quality alone.

Today, however, van lines have some flexibility in determining charges, depending on the specific needs of the customer. While tariffs still are determined by an industry organization called the Household Goods Carriers' Bureau, moving companies can relate their charges more closely to their actual costs and prevailing market conditions. Prices, determined locally, can vary between different movers. Price, however, is only one factor to be considered by a prudent consumer.

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calculatorAs mentioned earlier, to determine a price that is fair, the moving counselor must take a full and complete inventory of the possessions that you want moved. He or she will inspect your attic, basement, and garage, as well as anything you have in storage. (By the way, you'll be responsible for removing items from attics, crawlspaces, and other hard-to-get-at storage areas.)

On a local move, your cost will most likely be based on an hourly rate and the amount of time it actually takes the movers to handle your shipment. On an interstate shipment, however, the cost still will be largely dependent on the weight of your shipment and the distance between origin and destination.

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Road SignsIn either case, you should determine which items have outlived their usefulness, so that you don't pay for moving something that you don't really need. (There's no better time to clean out closets, drawers, attics, crawlspaces, etc., and get rid of those things that you no longer use.) Also make sure that the moving counselor is fully aware of what's not being moved. The savvy consumer will make these considerations carefully (pay careful attention to Garage Sale Guidelines--One Way to Save Money on Your Move).

After taking into account everything that needs to be moved, as well as any special services that you may need, the moving counselor will prepare your estimate. Your final cost will be based on the actual weight of your shipment, plus the charges for any extra services. However, if the estimate was too low, you'll be expected to pay the estimated cost and up to 10 percent of the overage upon delivery. The balance will be due within 30 days.

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On an interstate shipment, you might be offered a binding estimate. This price is guaranteed--regardless of the actual weight of the items estimated. If after receiving a binding estimate, you have any changes regarding special services or have additional items to be moved, be sure to advise your moving counselor of those changes prior to your moving day. Your Home Such changes are likely to affect the final cost of your move, and the van line has the right to void the binding estimate.

In addition to shipping costs, you'll be charged for any additional services such as packing, unpacking, and appliance servicing (detachment and hook-up). Also, if the van foreman and his crew have to contend with an especially long distance or several flights of stairs when loading or unloading your goods, there will be an additional labor fee for the extra effort required.

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One final note regarding the price of your professional move: Remember that, as is the case with any product or service that you buy, you usually get what you pay for. The lowest price doesn't always mean the best value. In selecting a professional mover, consider such factors as reputation, reliability, performance record, claims settlement processes, and overall commitment to customer satisfaction.

By the way, some moving expenses are tax-deductible, so save receipts and check with your tax advisor for details.

This survey allows the counselor to provide you with an estimate of costs and various pricing options you may choose from. Once you've selected a mover, you'll be asked to sign an Order for Service at which point your moving counselor will register your move with the van line.

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Page last updated on:02/11/2000