BSP/ARC Integration
Billing and Settlement Plan (BSP) and Airlines Reporting Corporation (ARC) integration.
Scope
BSP (Global)
- IATA-operated settlement system
- 180+ countries coverage
- ~400 airlines, 84,000+ agencies
- $225B+ annual processing
- Weekly/bi-weekly settlement cycles
ARC (United States)
- US-specific settlement
- $99B+ annual processing
- Direct airline-agency settlement
- Weekly settlement
Core Functions
- Sales reporting (tickets, EMDs)
- Refund processing
- Exchange documentation
- Commission calculation
- Settlement/remittance
Research Topics
Architecture Considerations
DISH Compliance
Data Interchange Specifications Handbook defines:
- Record formats
- Transaction codes
- Validation rules
- Transmission protocols
Transaction Codes
| Code | Description |
|---|
| TKTT | Ticket sale |
| RFND | Refund |
| EXCH | Exchange |
| CANX | Cancellation |
| ACMA | Agency credit memo |
| ADMA | Agency debit memo |
HOT File Structure
Header Record
├── BSP Code
├── Airline Code
├── Processing Date
├── Period Number
Transaction Records
├── Transaction Code
├── Document Number
├── Agent Code
├── Issue Date
├── Passenger Name
├── Itinerary
├── Fare/Tax/Commission
└── Form of Payment
Trailer Record
├── Record Count
└── Control Totals
Integration Flow
Ticketing System
│
▼
┌─────────────┐
│ BSP Gateway │ ◄── Transaction validation
└──────┬──────┘
│
▼
┌─────────────┐
│ HOT File │ ◄── Daily/weekly generation
│ Generation │
└──────┬──────┘
│
▼
BSP Processing Center
│
▼
Settlement & Remittance
Integration Points
| System | Direction | Data |
|---|
| Ticketing | Inbound | Ticket/EMD issuance |
| Refunds | Inbound | Refund transactions |
| Finance | Outbound | Settlement reports |
| Agency Mgmt | Bidirectional | Commission, ADM/ACM |
Settlement Alternatives
For Non-BSP Distribution
- Virtual Cards (VCN): IATA Resolution 896/812A
- Direct Billing: Individual agreements
- Prepaid Wallets: Duffel Balance model
- SEPA Direct Debit: European markets
Provider Options
| Provider | Approach | Timeline |
|---|
| IATA BSPlink | Direct | Standard |
| Accelya | Managed service | 3-6 months |
| TPConnects | API-based | 3-6 months |
| Custom | Build | 12-24 months |
Compliance Requirements
Financial Thresholds
- IATA financial security requirements
- Bank guarantee amounts
- Insurance coverage
- Audit requirements
Reporting Deadlines
- Daily sales transmission (where required)
- Weekly billing periods
- Monthly reconciliation
- Quarterly audits