Customs bonds · Insufficiency notice
CBP says your continuous bond is insufficient
The notice means that your continuous bond is too small or has a problem. You must replace it by the date in the notice. After that date, entries on the old bond stop and each entry needs its own bond.
The notice
What is an insufficient bond notice?
It is a written notice from CBP that your continuous bond does not protect the revenue enough. CBP reviews bonds under 19 CFR 113.13. When a bond is inadequate, CBP must notify the principal and the surety in writing.
A notice about the amount states the new bond amount and the reason. For example, your duties, taxes and fees grew, and 10 percent of them is now more than your bond. Other notices are about unpaid bills, an address or missing papers.
The notice concerns your continuous bond, the bond that covers all your entries for a year. See continuous bond and single transaction bond.
Causes
Why did CBP send it?
Your duties grew
10 percent of your duties, taxes and fees of the last 12 months is now more than the bond amount. Higher duties in 2026 can cause this.Unpaid bills or debit vouchers
CBP adds unpaid bills and unpaid debit vouchers of anyone on the bond to the required amount.Mail returned as undeliverable
When the Postal Service returns CBP mail as undeliverable, CBP makes the bond insufficient at once.An invalid importer number
The bond uses an importer of record number that is not valid for that party. An example is an EIN that the IRS did not assign to that party.Missing bond papers or riders
For example a reconciliation rider, a U.S. Virgin Islands rider, or the surety's approval for deferred tax payment.No reply to CBP
You or the surety did not answer an earlier CBP demand to increase the bond, or a rejected termination request.
Delivery
How does CBP send the notice?
Only CBP's Revenue Division, in the Office of Finance, issues a notice that a continuous bond is insufficient. The notice goes in writing to you, the principal on the bond, and to your surety (19 CFR 113.13(c)).
When CBP marks a bond insufficient in ACE, ACE also sends an electronic bond status message. It goes to the party that filed the bond, usually the surety.
CBP sends mail to the address in your importer record. Keep it current. If the Postal Service returns CBP mail as undeliverable, CBP makes the bond insufficient at once. You can check the address in your ACE Portal importer account, or ask your broker to query it in ACE.
In the ACE Portal, importers can run the report REV-001 Bond Details to check and monitor their bonds.
Deadline
How long do I have?
Use the date in your notice. CBP's bond sufficiency directive uses a form letter that gives 30 days from the date of the letter. Within that time, you terminate the bond and replace it with a continuous bond of at least the stated amount.
The regulation gives the principal 15 days from the notification to fix the deficiency (19 CFR 113.13(c)). CBP's Revenue Division also says that some conditions make a bond insufficient with no advance notice.
The termination of the old bond takes time too. A termination request from the principal takes effect no earlier than 10 business days after CBP receives it (19 CFR 113.27(a)).
Start the day the notice arrives
A surety needs time to underwrite a larger bond. CBP needs time to process the new bond and the termination. Send us the notice on the day you get it.
Consequences
What happens if I miss the deadline?
Entries on the old bond stop
In most cases, ACE edits block an insufficient continuous bond on entry transactions. CBP rejects an entry that comes without a single transaction bond.
Each entry needs its own security
CBP can require a single transaction bond or a cash deposit for each entry until you fix the bond (19 CFR 113.13(c)).
Cargo can wait at the port
If a party keeps using an insufficient bond, CBP can set cargo criteria that stop the immediate release of its goods.
The importer record can be voided
CBP names this as a last resort for a party that keeps using a bond that it knows is insufficient.
Sources: 19 CFR 113.13(c), CBP Directive 3510-005 and CBP's Insufficient Bond Information notice.
Process
How do I respond to the notice?
- You
Read the notice today
Note the date of the notice, the deadline, the reason and the bond amount that CBP requires. Send us a copy.
- You
Fix the cause if it is not the amount
Pay unpaid bills or debit vouchers before the deadline and tell the Revenue Division. For a returned-mail notice, confirm or correct your address.
- Allied
Check the amount
We compare the amount in the notice with your duties, taxes and fees of the last 12 months. We also look at what you expect to import next.
- Allied
Apply for the new bond
We place the application with a surety in at least the amount in the notice. The surety decides what it needs, for example financial statements.
- Allied
File the new bond and end the old one
The surety files the new continuous bond with CBP's Revenue Division, and the old bond is terminated. The new bond starts the day after the old one ends.
- Allied
Watch the amount each month
CBP reviews continuous bonds each month. We compare your duties with the bond so that you can act before the next notice.
Bond amount
How big should the new bond be?
CBP's formula is 10 percent of the duties, taxes and fees of the previous 12 months, at least $50,000. CBP rounds up to the next $10,000 up to $100,000, and to the next $100,000 above that. Unpaid bills add to the amount.
Section 232 and Section 301 duties count as duties. If your duties are still rising, a bond at the exact amount in the notice can be too small again in a few months. CBP advises importers to forecast the next 12 months and to consider a bond above the minimum.
Get help
Can Allied handle the notice for me?
Request: Help with an insufficient bond notice
Quote on request
Questions
Insufficient bond notice: common questions
Can I keep importing while I fix the bond?
Until the deadline in the notice, the current bond usually stays in use. Some problems, such as returned mail, make a bond insufficient at once, with no notice period. Then each entry needs a single transaction bond until the new bond is on file.
Can I just raise the amount of my current bond?
The fix in CBP's bond sufficiency directive is a new continuous bond in at least the required amount, and the termination of the old bond. Your surety files both with CBP's Revenue Division.
Does it help to pay my unpaid bills?
Yes, if unpaid bills or debit vouchers caused the notice. Pay them before the deadline in the notice and tell the Revenue Division in time. CBP then computes the bond amount again.
What if the notice is about my address?
If the address that CBP has on file is correct, send a signed letter on company letterhead that confirms it to bondquestions@cbp.dhs.gov. If the address changed, file CBP Form 5106 with the mailing and the physical address. CBP asks for the subject line "Bad Address IR#" with your importer number.
What if CBP says my importer number is not valid?
Correct your importer record with CBP Form 5106 before the new bond is filed. From September 18, 2026, CBP can also void an importer of record number when the CBP Form 5106 data is not accurate.
My bond renewed a few months ago. Why is it insufficient now?
CBP reviews every continuous bond for importation each month, not only at renewal. A bond can become insufficient at any time in the bond year, for example when new duties raise your payments.
How much time does the termination of the old bond take?
A termination request from the principal takes effect on the requested date, if CBP receives it at least 10 business days before (19 CFR 113.27). Start at once, so the new bond is in place before the deadline.
Who at CBP handles the notice?
The Revenue Division in CBP's Office of Finance. Its bond team takes questions at bondquestions@cbp.dhs.gov.
Got a notice? Send it to us today.
Call (908) 291-8001 or email info@alliedchb.com
Last reviewed September 26, 2026. This page explains customs rules in general terms. It is not legal advice. Duty rates and CBP procedures change often, and we confirm the figures for your shipment in writing before you commit.
Check your deadline in the notice itself. CBP can set a different period for your case. Bond calculator.