New Reviewer

Liberty National Financial Corp has refused to refund $10,000

Liberty National Financial Corp has refused to refund $10,000 collateral for our broker Trust Fund. In order to comply with FMCSA’s financial security requirements our company has maintained a trust fund agreement with Liberty National Financial Corp in the amount of $10,000. On October 1st, 2013 Federal Motor Carrier Safety Administration’s financial security requirement for brokers and freights forwarders was raised from $10,000 to $75,000. Before making the decision, whether to keep the financial agreement with Liberty National Financial Corp or to choose another administrator, we conducted some market research and came across numerous negative reviews and complaints against Liberty National Financial Corp. Therefore, we chose to use another trustee to oversee our trust fund. We closely followed Liberty’s cancellation procedure to terminate our agreement; we paid the $250 cancellation fee and filled out their cancellation request form and cancellation section on BMC-85 form. Liberty National Financial Corp verbally assured us that in case of cancelation of the trust fund the paid collateral will be refunded in full within 30 days. In accordance with the signed contract Liberty National Financial Corp is liable to submit the cancellation to the FMSCA for evaluation and FMSCA would review it for 30 days. After that review, Liberty National Financial Corp will conduct an internal audit and refund at their discretion within 90 days. According to our last phone conversation the cancellation was never presented to FMSCA. Recently we received a letter, signed by the president of Liberty National Financial Corp, Cynthia Martinian stating that the refund may not be processed for another calendar year. The stated reason for not returning the collateral as promised is that their company would be liable for events/claims filed after the cancellation date. This statement from Ms. Martinian is contrary to our notarized mutual agreement stating that: “Trustee shall not be liable for payments of any of the damages hereinbefore described which arise as the result of any contracts, agreements, undertaking, or arrangements made by the Trustor for the supplying of transportation after the cancellation of this Agreement, as herein provided, but such cancellation shall not affect the liability of the Trustee for the payment of any such damages arising as a result of contracts, agreements, or arrangements made by the Trustor for the supplying of the transportation prior to the date such cancellation becomes effective” Furthermore, the contract doesn’t indicate that Liberty National Financial Corp could withhold funds for any length of period after cancellation We have attempted to contact Liberty several times since the cancellation request; however Liberty still refuses to refund the $10,000 and claims they are holding it in the event a claim is filed against that trust. This is a false preface considering we currently have a bond for $75,000 that would assuredly supersede the bond that Liberty National Financial Corp is holding for us.
View full review
3 comments
#1038374

Hey analysis ! I was fascinated by the information , Does anyone know if my business could get ahold of a fillable 2013 GA T-140 Schedule C example to work with ?

#1040317
@PissedConsumer1038374

Hi I have here blank form of 2013 GA T-140 Schedule C that can help you.Here is the link http://www.fmcsa.dot.gov/documents/bmc-85.pdf.

#789404

These people are thieves, they probably have all this money tight up in investments and can't liquidate the money to pay their customers. They are doing this to multiple companies that are no longer in need of their services due to the new bond minimum.

I will encourage people to stay away from them. They are not a good business partner!!!!

View more comments (2)
ID
#464900 Review #464900 is a subjective opinion of poster.
Location
Norman, Oklahoma
Loss
$10000

Why Trust Reviews on PissedConsumer?

  • Professional auto and live moderation
  • 100% user-generated content
  • Equal opportunity and protection
  • Zero tolerance for fake reviews
  • Verified content

For more information read Blog article