• Cash Security Deposit: This requires a deposit equal to 100% of your highest estimated monthly accounts payable to the CBSA, including GST. While this guarantees payment, it can significantly impact your cash flow.
• Surety Bond: A more flexible option, requiring a bond for 50% of your highest monthly accounts payable. This allows you to maintain better cash flow while still meeting your CBSA obligations. The minimum bond amount is $5,000.
• No Security: Without a cash deposit or bond, you'll need to pay duties and taxes at the time of import, potentially causing delays and impacting your ability to get goods to market quickly.

• Frees up cash flow: You only need to secure 50% of your highest monthly obligation.
• Faster customs clearance: Avoid payment delays and get your goods moving.
• Flexibility: A surety bond adapts to your import volume, covering all your shipments.
• Compliance: Ensures you meet CBSA requirements and avoid penalties.

The Canada Border Services Agency (CBSA) requires financial security equal to 50% of your highest monthly duty and tax payable within the last 12 months. This is calculated by taking your highest monthly total for duties and taxes and dividing it by two.

The easiest way to determine your required financial security amount is through the CARM Client Portal:

1. Log in to your CARM Client Portal.
2. Navigate to the Financial Security page: You can usually find this under "Home" or the main menu, then "Financial Information," and finally, "Financial Security."

3. View your Financial Security Dashboard: This dashboard provides a clear overview of your financial security status, including:
   
   • Total security required: The exact amount of financial security you need for your account.
   • Current security coverage: The amount of financial security you currently have in place.

By checking your dashboard, you can quickly and easily verify the specific amount of financial security required for your business.

New importers have a minimum financial security requirement of $5,000. While you won't have prior import data to calculate 50% of your highest monthly duty and tax payable, you'll need to secure this minimum amount.

The CARM Client Portal will proactively notify you as your import activity grows and your required security approaches or exceeds your current coverage:

• 75% Utilization: You'll receive a notification when your required security reaches 75% of your current coverage. This serves as an early warning to consider increasing your security.
• 100% Utilization: If your required security exceeds 100% of your current coverage, you'll receive notifications on days 1, 6, and 10. These notifications will remind you that you must either pay off your outstanding balance or increase your security coverage to avoid account disruptions.

These notifications are designed to help you maintain adequate financial security and ensure smooth import operations. Regularly monitor your CARM Client Portal notifications to stay informed.