Glossary · FMCSA & freight
BMC-85 trust fund
Also called: BMC-85, Broker trust fund, Trust fund agreement
Definition
A BMC-85 is the FMCSA form that evidences a broker's or freight forwarder's $75,000 trust fund agreement, the alternative to a BMC-84 surety bond.
Instead of buying a BMC-84 bond, a broker can place $75,000 in trust with a financial institution and file Form BMC-85. Since 2026-01-16, 49 CFR 387.307 requires the trust's assets to be convertible to cash within 7 calendar days and limits them to cash, irrevocable letters of credit from federally insured depository institutions, and Treasury bonds.
The same immediate-suspension process applies as for bonds. If payments drop the trust below $75,000, the institution notifies FMCSA, and the broker has 7 business days from FMCSA's notice to restore it or show the claims were resolved. Freight forwarders must keep a bond or trust at the same $75,000 level (49 CFR 387.403 and 387.405).
For a factor, a debtor's trust is checked the same way as a bond: is it on file, is a cancellation pending, and is the trustee a real financial institution. The 2023 final rule that took effect on 2026-01-16 also addressed which entities may provide BMC-85 trust funds.
Sources
- 0149 CFR 387.307: Property broker surety bond or trust fund · eCFR
- 0249 CFR 387.403: Freight forwarders, general requirements · eCFR
- 0349 CFR 387.405: Freight forwarders, limits of liability · eCFR
- 04Federal Register: Broker and Freight Forwarder Financial Responsibility (final rule) · FMCSA, 2023-11-16