---
kind: "section"
citation: "49 U.S.C. § 13707"
title: "49"
title_heading: "Transportation"
number: "13707"
heading: "Payment of rates"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/49/13707"
units:
  - "Subtitle IV — Interstate Transportation"
  - "Part B — Motor Carriers, Water Carriers, Brokers, and Freight Forwarders"
  - "Chapter 137 — Rates and Through Routes"
---

# §13707. Payment of rates

- (a) **Transfer of Possession Upon Payment.—** Except as provided in [subsection (b)](#b), a [carrier](/usc/49/13102.md?p=3) providing [transportation](/usc/49/10102.md?p=9) or service subject to jurisdiction under this part shall give up possession at the destination of the property transported by it only when payment for the [transportation](/usc/49/10102.md?p=9) or service is made.
- (b) **Exceptions.—**
  - (1) **Regulations.—** Under regulations of the [Secretary](/usc/49/13102.md?p=20) governing the payment for [transportation](/usc/49/10102.md?p=9) and service and preventing discrimination, those [carriers](/usc/49/13102.md?p=3) may give up possession at destination of property transported by them before payment for the [transportation](/usc/49/10102.md?p=9) or service. The regulations of the [Secretary](/usc/49/13102.md?p=20) may provide for weekly or monthly payment for [transportation](/usc/49/10102.md?p=9) provided by [motor carriers](/usc/49/13102.md?p=14) and for periodic payment for [transportation](/usc/49/10102.md?p=9) provided by [water carriers](/usc/49/13102.md?p=26).
  - (2) **Extensions of credit to governmental entities.—** Such a [carrier](/usc/49/13102.md?p=3) (including a [motor carrier](/usc/49/13102.md?p=14) being used by a [household goods freight forwarder](/usc/49/13102.md?p=11)) may extend credit for transporting property for the [United States](/usc/49/10102.md?p=10) Government, a [State](/usc/49/10102.md?p=8), a territory or possession of the [United States](/usc/49/10102.md?p=10), or a political subdivision of any of them.
  - (3) **Shipments of household goods.—**
    - (A) **In general.—** A [carrier](/usc/49/13102.md?p=3) providing [transportation](/usc/49/10102.md?p=9) of a shipment of [household goods](/usc/49/13102.md?p=10) shall give up possession of the [household goods](/usc/49/13102.md?p=10) being transported at the destination upon payment of—
      - (i) 100 percent of the charges contained in a binding estimate provided by the [carrier](/usc/49/13102.md?p=3);
      - (ii) not more than 110 percent of the charges contained in a nonbinding estimate provided by the [carrier](/usc/49/13102.md?p=3); or
      - (iii) in the case of a partial delivery of the shipment, the prorated percentage of the charges calculated in accordance with [subparagraph (B)](#b-3-B).
    - (B) **Calculation of prorated charges.—** For purposes of [subparagraph (A)(iii)](#b-3-A-iii), the prorated percentage of the charges shall be the percentage of the total charges due to the [carrier](/usc/49/13102.md?p=3) as described in clause [(i)](#b-3-A-i) or [(ii)](#b-3-A-ii) of subparagraph (A) that is equal to the percentage of the weight of that portion of the shipment delivered to the total weight of the shipment.
    - (C) **Post-contract services.—** [Subparagraph (A)](#b-3-A) does not apply to additional services requested by a shipper after the contract of service is executed that were not included in the estimate.
    - (D) **Impracticable operations.—** [Subparagraph (A)](#b-3-A) does not apply to impracticable operations, as defined by the applicable [carrier](/usc/49/13102.md?p=3) tariff, except that the charges collected at delivery for such operations shall not exceed 15 percent of all other charges due at delivery. Any remaining charges due shall be paid within 30 days after the [carrier](/usc/49/13102.md?p=3) presents its freight bill.

## Source credit

(Added Pub. L. 104–88, title I, § 103, Dec. 29, 1995, 109 Stat. 873; amended Pub. L. 109–59, title IV, § 4203, Aug. 10, 2005, 119 Stat. 1752.)

## Notes

### Editorial Notes

### Prior Provisions

Provisions similar to those in this section were contained in section 10743 of this title prior to the general amendment of this subtitle by Pub. L. 104–88, § 102(a).

### Amendments

2005—Subsec. (b)(3). Pub. L. 109–59 added par. (3).

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective Jan. 1, 1996, except as otherwise provided in Pub. L. 104–88, see section 2 of Pub. L. 104–88, set out as a note under section 1301 of this title.