Truck Drivers Escrow Account!
Have you ever driven for a carrier that withheld some of your money in escrow ?
14 Years ago I got to Chicago from Arlington Texas to drive for a company out of the North West of Chicago and I was surprised to find out the trucking companies that I am about to drive for wanted to withhold $1000 in escrow.
The company claims that the money will be kept in an escrow fund for losses, damages, or any expenses incurred through the actions of the driver.
The plan was to keep $100 every paycheck until the company accumulated $1000 in escrow. It was the company policy and I wanted the job so I had to agree with the policy. In Chicago it is common practice for trucking companies to keep some of driver money in escrow, but for those of you that don’t know, escrow accounts are subject to very strict rules by the state.
Some of those conditions are:
1- The money is deposited in a separate account designated for Escrow. (the escrow money should never be deposited in the regular business account and never used in the day to day business.
2- Upon leaving the company, 45 days after the last paycheck the company is obligated to return your escrow money back to the driver. NO LATER THAN 45 DAYS.
3- If the driver kept with the company agreement, the company is obligated to return the escrow money in full.
In general most trucking companies will honor their agreement but still some small count who will take advantage of your escrow money.
If you feel that you’re being taken advantage of and the company kept some of your escrow money unfairly:
1- Contact the company and ask them to fix the situation.
2- If the company refuses to correct the situation, Report the company to the state.
Let the state know about your situation.
To my knowledge escrow applies to 1099 “Truck drivers contractors” not for W2 Drivers.
At Pro Trucker News, we believe that the Truck Driver should be treated fairly and never be taken advantage of. We also know that the driver has a responsibility when driving for any company and has to take that seriously .