Single Entry vs. Continuous Import Bonds: What U.S. Importers Need to Know

Every importer bringing a shipment into the U.S. over $2,500 needs a U.S. customs bond, but not every importer needs the same type. The choice between a single-entry bond and a continuous bond affects cost, administrative workload, and exposure to compliance risk. Knowing how each bond type works, when each is required, and how to determine which makes sense for your business is a foundational part of managing import operations efficiently.

Key Takeaways

• A customs bond is required by CBP on all commercial imports valued at more than $2,500, as well as on all imports subject to federal regulations regardless of value. (Source: CBP.gov)
• A continuous bond covers all CBP entries at all ports of entry for a 12-month period from its effective date. A single-entry bond covers only one specific shipment.
• Continuous bonds must equal at least 10% of prior-year duties, taxes, and fees paid, with a minimum of $50,000. (Source: CBP Bond Directive 99-3510-004)
• Single entry bonds are priced at approximately 0.4%–0.5% of total entered value plus applicable duties, with a per-transaction minimum. Importers who ship regularly will almost always spend more on single-entry bonds than on a single continuous bond.
• ISF (Importer Security Filing) bonds must be secured if an importer is using single entry bonds. If the importer has a continuous Customs bond, that satisfies the requirement for this, so the importer does not have to secure individual ISF bond.

A U.S. Customs bond is a legally binding financial guarantee between three parties: the importer of record (the principal), a surety company, and U.S. Customs and Border Protection (CBP). The bond guarantees that the importer will comply with all applicable CBP regulations and pay any duties, taxes, and fees assessed on imported merchandise.

If the importer fails to meet those obligations, CBP files a claim against the bond, which the importer is responsible for resolving directly. Only if the importer does not resolve the claim does it become a demand on the surety company. If the surety pays out on that demand, the bond will be terminated, and the surety will seek reimbursement from the importer.

Customs bonds are required for all commercial imports over $2,500 in value, and for any import subject to federal agency requirements (such as FDA, USDA, EPA, or ATF) regardless of value.

What Is a U.S. Customs Bond?

A U.S. Customs bond is a legally binding financial guarantee between three parties: the importer of record (the principal), a surety company, and U.S. Customs and Border Protection (CBP). The bond guarantees that the importer will comply with all applicable CBP regulations and pay any duties, taxes, and fees assessed on imported merchandise.

If the importer fails to meet those obligations, CBP files a claim against the bond, which the importer is responsible for resolving directly. Only if the importer does not resolve the claim does it become a demand on the surety company. If the surety pays out on that demand, the bond will be terminated, and the surety will seek reimbursement from the importer.

Customs bonds are required for all commercial imports over $2,500 in value, and for any import subject to federal agency requirements (such as FDA, USDA, EPA, or ATF) regardless of value.

What Is a Single-Entry Bond?

A single-entry bond (also called a single transaction bond) covers exactly one customs entry — one shipment at one port on one date.

Single entry bonds are typically used by importers who ship infrequently, perhaps once or twice per year.

How single-entry bonds are priced: CBP sets the bond amount at the greater of (a) the total entered value of the shipment plus all applicable duties, taxes, and fees, or (b) $100. Surety companies typically charge approximately 0.4% to 0.5% of the bond amount, with a minimum premium per transaction, often in the $35–$75 range.

What Is a Continuous Import Bond?

A continuous bond covers all CBP entries made by the importer at all U.S. ports of entry during a 12-month period from the bond's effective date.

For most commercial importers, the continuous bond is the practical default. It eliminates the need to purchase a new bond for each shipment, reduces administrative burden, and is almost always more cost-effective for companies that import more than a few times per year.

How continuous bonds are sized: CBP requires that a continuous bond equals at least 10% of the total duties, taxes, and fees paid by the importer in the prior year, rounded up to the nearest $10,000, or for totals above $100,000, rounded up to the nearest $100,000, with a minimum of $50,000. The bond renews annually on its effective date unless cancelled.

How continuous bonds are priced: Surety companies typically charge an annual premium based on the bond amount. For a $50,000 continuous bond, annual premiums commonly range from approximately $400 to $700. Larger bond amounts carry proportionally higher premiums, though the rate per dollar of coverage generally decreases at higher amounts.

How to Determine Which Bond Type Is Right for Your Business

The decision typically comes down to import frequency and volume:

• Import once or twice per year: A single-entry bond may be more economical.
• Import three or more times per year: A continuous bond almost always costs less over the year and eliminates per-shipment paperwork.
• Import unpredictably or seasonally: A continuous bond provides flexibility to import as often as needed without triggering additional bond costs.
• Import high-value or high-tariff goods: Review bond sizing carefully with a surety professional to ensure that the bond meets the CBP’s sufficiency standard.

Frequently Asked Questions

Is a customs broker required for a company to obtain a customs bond?

No. Importers can obtain a customs bond directly from a surety company or through a licensed customs broker. However, many importers obtain their bond through their broker as part of an overall import compliance program. Using a surety professional who understands both bonding requirements and CBP compliance can help ensure that the bond is properly sized and filed.

What is the difference between the importer of record and the bond principal?

In most cases they are the same party, the company or individual legally responsible for the imported goods. However, in some circumstances, a customs broker or third party can act as importer of record. The bond principal is the party guaranteeing compliance with CBP obligations, which, in almost all cases, is the importer of record.

What triggers CBP to request an increase to an existing continuous bond?

The most common triggers are: duties, taxes, and fees paid in the prior 365 days growing beyond the bond's capacity, a pattern of CBP compliance violations, or a formal review initiated by CBP under its bond sufficiency guidelines.

Proactively reviewing and adjusting the bond amount annually — or when duty obligations change materially — is the best way to avoid a CBP Increase Letter.

Do I need a separate bond for each port of entry?

No. A continuous import bond covers all ports of entry across the United States. This is one of the significant administrative advantages of the continuous bond over managing individual single-entry bonds.