Practice Test Geeks(CCS) Certified Customs Specialist Practice Test
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Customs Bonds and Requirements Flashcards

7 cards from real CCS practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. When a surety company wishes to terminate a continuous bond, what is the minimum advance notice required to be given to CBP?

    Answer: 30 days

    A surety must provide CBP with at least 30 days' advance written notice before terminating a continuous customs bond.

  2. Which party to a customs bond is primarily responsible for paying any duties, penalties, or liquidated damages if an obligation is not met?

    Answer: The principal

    The principal is the primary obligor on the bond; the surety is secondarily liable if the principal fails to pay.

  3. A foreign trade zone (FTZ) operator bond covers which of the following obligations?

    Answer: Accountability for all merchandise admitted to the FTZ and compliance with FTZ regulations

    The FTZ operator bond ensures the operator is accountable for all merchandise in the zone and complies with CBP and FTZ Board regulations.

  4. For a single-entry bond on a commercial importation, the bond amount must be equal to at least what percentage of the total entered value?

    Answer: The amount of all duties, taxes, and fees plus 3 times any estimated penalties

    A single-entry bond must cover all duties, taxes, and fees, and in penalty cases CBP may require up to three times the penalty amount added.

  5. Which surety company qualification requirement must be met for a company to write customs bonds in the United States?

    Answer: The surety must be listed on the Treasury Department's approved surety list (Circular 570)

    Sureties writing customs bonds must be approved by the U.S. Treasury Department and appear on the current Circular 570 list.

  6. What is the consequence when CBP issues a 'bill' for unpaid duties and the importer (principal) fails to pay within the stated time?

    Answer: CBP may demand payment from the surety on the bond

    When the principal defaults, CBP may seek payment from the surety up to the full penal sum of the bond.

  7. A 'drawback bond' is required in connection with which customs procedure?

    Answer: Claiming a refund of duties paid on imported goods that are subsequently exported

    A drawback bond guarantees that if a drawback claim is later found to be erroneous, the claimant will repay the refund received.