U.S. & International Trade Compliance Study & Test Preparation

Should You Take the Customs Broker License Exam?

To answer this question, you should consider other questions:

What is a Customs Broker?

A U.S. licensed customs broker clears commercial cargo for importers.  It is illegal for non-brokers to clear commercial cargo on behalf of others (other than a few, narrow exceptions).  Logistics companies, such as freight forwarders, express couriers, etc., must have a licensed customs broker on their payroll to have the right to clear cargo.

What is the process for obtaining a Customs Broker license?

Only United States citizens, 21 or older, are eligible to obtain a customs broker license.  The first major step is to apply to take the Customs Broker License Examination (CBE), which takes place twice annually (April & October).   Once you have passed the exam, you have three years to submit a license application.  The application is not lengthy; however, it requires several character references and a follow-up investigation by the government into the applicant’s financial and character background to confirm the applicant can and will legitimately conduct business.  This application and background check can take up to 1 year or more after passing the exam.

What are the benefits of having a Customs Broker license?

Among the more concrete benefits that come with a Customs Broker license are:

1) Legal right to clear commercial cargo on behalf of others

2) Ability to serve as the “license-holder” for companies that wish to clear cargo for others, i.e. logistics companies, importers, etc.

3) Industry acknowledgement for having obtained the principal credential demonstrating knowledge and expertise in customs.

What are the time and monetary costs of taking the Customs Broker License Exam?

The time costs are greater than the monetary costs; however, if you plan to take a preparation course, you can expect to spend over $1,000 in supplies, instruction fees, and texts.  There is also a $200 exam fee charged by the government to administer the test.  Some companies are willing to reimburse some or all of these fees to encourage professional development.

The time costs are significant.  Most successful examinees report spending up to 20 or more hours per week studying in the three months leading up to the exam.  It is therefore critical to manage your calendar and commitments during your preparation period.

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