TQL - Total Quality Logistics Financial Processes and Billing Questions and Answers — Questions and Answers
Question 1: A carrier is dispatched to a shipper but the load is canceled by the customer after the driver is already on the way to the pickup location. Which accessorial fee is designed to compensate the carrier for their time and fuel?
- Detention
- Layover
- Truck Order Not Used (TONU) (Correct answer)
- Lumper Fee
Correct answer: Truck Order Not Used (TONU)
A Truck Order Not Used (TONU) fee is charged when a shipment is canceled after a truck has been dispatched. This fee compensates the carrier for the resources committed and the lost opportunity to book another load.
Question 2: A carrier hauling for TQL wants to receive payment faster than the standard 28-day terms. Which payment option allows them to receive funds in 1-2 business days for a small percentage fee?
- Standard Pay
- Factoring
- 7-Day Quick Pay
- 1-Day Quick Pay (Correct answer)
Correct answer: 1-Day Quick Pay
TQL offers Quick Pay options for carriers who need expedited payment. The 1-Day Quick Pay option, for a 5% fee, ensures the carrier receives payment much faster than the standard 28-day terms.
Question 3: For TQL to successfully bill a customer and for a carrier to be paid, which document is most essential as it confirms the freight was delivered and received?
- Rate Confirmation
- Signed Proof of Delivery (POD) (Correct answer)
- Carrier's Invoice
- Scale Ticket
Correct answer: Signed Proof of Delivery (POD)
The signed Proof of Delivery (POD), which is often the same document as the Bill of Lading (BOL) signed at delivery, is the critical document that confirms the service has been completed. TQL requires this to invoice the customer and process the carrier's payment.
Question 4: A driver arrives on time for a 10:00 AM pickup appointment but is forced to wait at the facility until 3:00 PM to be loaded. Per TQL's standard policy, what accessorial charge may apply after the initial free time has passed?
- Detention (Correct answer)
- TONU (Truck Order Not Used)
- Layover
- Pre-pull Fee
Correct answer: Detention
Detention is an accessorial charge that compensates a carrier for excessive waiting time at a shipper or receiver. TQL's policy generally allows for a period of free time (e.g., 2-3 hours) before detention pay can be requested and billed to the customer with prior approval.
Question 5: When a carrier uses a third-party factoring company to manage its receivables, what legal document must be on file with TQL to ensure payments are sent to the factor instead of directly to the carrier?
- Rate Confirmation
- W-9 Form
- Certificate of Insurance
- Notice of Assignment (NOA) (Correct answer)
Correct answer: Notice of Assignment (NOA)
A Notice of Assignment (NOA) is a legal document that informs a debtor (TQL) that a third party (the factoring company) has purchased the right to collect the accounts receivable of a creditor (the carrier). Once TQL receives a valid NOA, they are legally obligated to remit payment to the factoring company.
Question 6: A customer's final invoice from TQL includes a $125 lumper fee. For this charge to be valid and billable, which of the following actions must have been taken by the TQL representative?
- The driver submitted the lumper receipt after delivery.
- TQL automatically adds a standard lumper fee to all invoices.
- The TQL representative obtained pre-approval from the customer for the charge. (Correct answer)
- The carrier paid the lumper in cash and was reimbursed by TQL.
Correct answer: The TQL representative obtained pre-approval from the customer for the charge.
All accessorial charges, such as lumper fees, must be pre-approved by the customer before they are incurred. The TQL representative is responsible for communicating the need for the charge to the customer and getting their authorization to ensure it can be properly billed and collected.
TQL - Total Quality Logistics Financial Processes and Billing Questions and Answers
A carrier is dispatched to a shipper but the load is canceled by the customer after the driver is already on the way to the pickup location.
Which accessorial fee is designed to compensate the carrier for their time and fuel?