Accelerated Payment for Duty Drawback: How It Works

Accelerated payment is a CBP drawback privilege that pays your refund before the drawback claim liquidates, usually within weeks of filing. Without it, the money waits until CBP liquidates the claim, which can take a year or longer. It requires CBP approval and a bond that covers the amount paid early. For most claimants it is the single biggest factor in how fast drawback turns into cash.

How accelerated payment works

• You file the claim in ACE as usual.
• CBP pays the claimed amount early, before it has finished reviewing and liquidating the claim.
• CBP liquidates the claim later. If the final amount is lower than what was paid, you owe the difference. If it is higher, CBP pays the rest.

The drawback bond

Because CBP pays before it verifies, it needs security. Accelerated payment requires a bond that covers drawback paid ahead of liquidation. The bond is set up through a surety, and its amount has to be large enough for the accelerated refunds you expect to have outstanding at one time. As claim volume grows, the bond may need to grow with it.

How to apply

• Application: The claimant applies to the drawback office under 19 CFR Part 190. CBP reviews the claimant's records and procedures before approving the privilege.
• Bond: Arranged with a surety and filed with CBP.
• Timing: Plan for CBP's review before the first claim. Many claimants apply for accelerated payment and a waiver of prior notice at the same time.

Is accelerated payment worth it?

For almost every claimant, yes. The bond premium is small compared with getting refunds a year or more sooner, and the first claim often covers several years of imports at once.

Frequently asked questions

How fast is accelerated payment? Usually within weeks of filing, once the privilege and bond are in place.

What if CBP reduces the claim later? You repay the difference when the claim liquidates, which is why accurate matching matters.

Do manufacturing claims qualify? Yes. Accelerated payment applies across drawback types, and manufacturers also need a manufacturing ruling. See the manufacturing drawback guide.

How Caspian sets it up

Caspian prepares the accelerated payment application, coordinates the bond and files your claims so the first refund arrives in weeks. See our duty drawback services or the full duty drawback guide.

Works Cited:

• 19 CFR Part 190, Modernized drawback
• CBP: Drawback overview