Remittance

In the BSP, a remittance is the payment of all amounts owing for a given billing period to IATA's Clearing Bank. The Remittance Date is the deadline by which those funds must be received 4. The agent must ensure the amount specified on the Billing for that period reaches the Clearing Bank account by that date 5.

Remittance dates are tied to reporting periods. Permitted frequencies include monthly, twice monthly and more often than twice monthly 8. In one market, for twice-monthly settlement, sales for the first 15 days fall due on the last day of the month, and sales for the 16th to month end fall due on the 15th of the following month. For four-times-monthly settlement, the date is five working days after each reporting period 7. Other markets set their own dates, so check the local rules.

In practice:

• Use the remittance notice in the BSP Billing reports, which shows the amount due and the Remittance Date, and the BSP calendar, which lists all dates for the year 4.
• If the agent is on direct debit, keep enough funds in the designated account, because IATA debits on the Remittance Date 4.
• If the Billing has not arrived by the Remittance Date, remit the amount your records show is owing, or in direct debit the amount ISS Management determines. Then pay any shortage immediately once the Billing arrives 5.
• An unpaid shortage is treated as an overdue remittance, and Irregularity and Default procedures apply 5.
• If the Clearing Bank is closed on the due day, the payment must reach it before close of business on the next day it is open 1.

Outside the BSP, remittances to a Member follow the frequency and date the Member prescribes 6.