BSP (Billing and Settlement Plan)

Definition: BSP is an IATA system that simplifies ticketing and payment processes between airlines and travel agents outside the U.S. (ARC serves a similar role in the U.S.). It consolidates ticket sales data and facilitates periodic settlements, reducing administrative complexity.

How It Works:

• Agencies issue tickets
• BSP collects funds and pays airlines
• Settlement is done on a scheduled basis (weekly/biweekly).

Coverage: 170+ countries, exceptions (e.g., U.S. uses ARC).