Tips for UPS Shippers

How to Bill to a Third Party Account on UPS Worldship

Published:
April 18, 2024
|
Last Edited:
July 10, 2024
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Read time:
9 minutes
Anthony Robison
CEO & Founder
Anthony Robinson
Founder & CEO @ ShipScience

How to Bill to a Third Party Account on UPS Worldship

If you are a business that frequently uses UPS Worldship, you may have customers or partners that prefer to have their shipping costs billed to a third party account. This can be a convenient option for both the shipper and the recipient, but it requires some additional setup in your UPS Worldship account.

What is a Third Party Account on UPS Worldship?

A third party account on UPS Worldship is an account that is billed for shipping charges incurred by someone other than the shipper or the recipient of the package. This means that if you are shipping an item to a customer or partner, but they have arranged to pay for the shipping costs themselves, the charges will be billed to their third party account instead of your own account.

Using a third party account can be beneficial for businesses that frequently ship items to customers or partners who have their own shipping accounts. It can help streamline the shipping process and reduce the administrative burden of managing multiple shipping accounts. However, it is important to note that using a third party account may come with certain restrictions or limitations, such as specific shipping methods or delivery options. It is important to review the terms and conditions of the third party account before using it for shipping.

Why Should You Bill to a Third Party Account on UPS Worldship?

There are several reasons why you may want to bill your shipping charges to a third party account on UPS Worldship:

  • If you are dealing with large orders or high volumes of shipments, the shipping costs can quickly add up. Billing them to a third party account can help you manage your expenses more effectively.
  • Some customers or partners may require or prefer to handle their own shipping costs for their own accounting or recordkeeping purposes.
  • Billing to a third party account can help streamline your shipping process, allowing you to focus on other aspects of your business.
  • It can help you avoid potential billing disputes or issues with customers or partners, as the charges are being handled directly by the third party.

Setting Up a Third Party Account on UPS Worldship

Before you can start billing your shipping charges to a third party account, you will need to set up the account in your UPS Worldship profile:

  1. Log in to your account and click on the “Account” tab.
  2. Select “UPS Billing Center” and then click “Add a UPS Account”.
  3. Select “Third Party Billing Account”, enter the account information, and then click “Add”.

Once you have added the third party account to your UPS Worldship profile, you can start using it to bill your shipping charges. Simply select the third party account as the billing option when you are creating a shipment in UPS Worldship. You will need to enter the account number and billing information for the third party account.

It is important to note that not all third party accounts are eligible for billing through UPS Worldship. You should check with the third party account holder to ensure that they are set up to receive billing from UPS. Additionally, some third party accounts may have specific requirements or restrictions for billing, so it is important to review their policies before using their account for shipping charges.

How to Add a Third Party Account to Your Shipping Profile

Once you have set up the third party account in your billing centre, you will need to add it to your shipping profile:

  1. Navigate to the “Shipping” tab in your UPS Worldship account and select “Shipper Editor”.
  2. Click on the “Account” tab and then select “Add a Third Party Account”.
  3. Enter the account information and then click “Save” to add the account to your shipping profile.

After adding the third party account to your shipping profile, it is important to verify that the account has been added successfully. To do this, go to the “Shipping” tab and select “Shipper Editor” again. Click on the “Account” tab and look for the third party account you just added. If it is listed, then it has been successfully added to your shipping profile.

It is also important to note that adding a third party account to your shipping profile may affect your shipping rates. Make sure to check with your shipping carrier to see if there are any changes to your rates or billing process. Additionally, if you have any issues with adding the third party account or have any questions, contact your shipping carrier’s customer service for assistance.

How to Verify a Third Party Account on UPS Worldship

Before you can start billing your shipping charges to a third party account, you will need to verify the account to ensure that it is valid and in good standing with UPS:

  1. Click on the “Account” tab in your UPS Worldship account and select “UPS Billing Centre”.
  2. Select the third party account that you want to verify and then click “Verify”.
  3. UPS will then run a check on the account to ensure that it is valid and that you are authorized to charge shipping fees to it.

Once the verification process is complete, you will receive a confirmation email from UPS. If the account is not valid or in good standing, you will need to contact the third party and resolve any issues before you can use their account for shipping charges. It is important to verify third party accounts regularly to ensure that you are not incurring any unnecessary charges or shipping delays. By following these steps, you can easily verify a third party account on UPS Worldship and streamline your shipping process.

Making a Shipment and Selecting the Third Party Account Option

Once you have set up and verified your third party account in UPS Worldship, you are ready to start billing your shipping charges to the account. To do this:

  1. Make a shipment as you normally would.
  2. Select the “Third Party” billing option when prompted.
  3. Enter the third party account information and then complete the shipment as usual.

The shipping charges will be billed directly to the third party account.

It is important to note that when using the third party account option, you are responsible for ensuring that the account has sufficient funds to cover the shipping charges. If the account does not have enough funds, the shipment may be delayed or returned to the sender. Additionally, it is recommended that you communicate with the third party account holder to confirm that they are aware of the shipment and the associated charges.

Another benefit of using the third party account option is that it allows for easier tracking and management of shipping expenses. By consolidating all shipping charges onto one account, it becomes simpler to monitor and analyze shipping costs. This can be especially useful for businesses that frequently ship large volumes of packages and need to closely manage their expenses.

Understanding Billing Options for Third Party Accounts on UPS Worldship

When you bill your shipping charges to a third party account on UPS Worldship, there are several billing options that you can choose from. For example, you may be able to:

  • Bill shipping charges to the account on a weekly or monthly basis.
  • Specify upfront how the charges should be billed.
  • Select from different payment options for the third party account, such as direct billing or credit card payments.

It is important to note that the billing options available may vary depending on the specific third party account and the agreement you have with them. It is recommended that you review your agreement and consult with the account holder to determine the best billing option for your needs.

Another factor to consider when billing to a third party account is the potential for disputes or discrepancies in billing. It is important to keep accurate records of all shipments and charges, and to promptly address any billing issues with the account holder and UPS customer service. By staying on top of billing and communication, you can ensure a smooth and efficient shipping process for all parties involved.

Billing Frequency and Payment Options for Third Party Accounts

The billing frequency and payment options that are available for third party accounts on UPS Worldship can vary depending on the account and the agreement that you have with the account holder. It is important to:

  • Clarify these details upfront and ensure that you are following the agreed-upon billing terms to avoid any confusion or issues with payments.
  • Note that some third party accounts may require a deposit or pre-payment before shipping can begin, especially for new accounts or accounts with a history of late payments.

Furthermore, it is recommended to regularly review your billing statements and invoices to ensure that all charges are accurate and in line with the agreed-upon billing terms. If you notice any discrepancies or have any questions about your billing, it is important to reach out to the account holder or UPS customer service for clarification and resolution. By staying on top of your billing and payment processes, you can ensure a smooth and efficient shipping experience for both you and the third party account holder.

Troubleshooting Common Issues When Billing to a Third Party Account on UPS Worldship

Despite careful setup and verification, there may be times when you encounter issues with billing to a third party account on UPS Worldship. Some common issues can include:

  • Incorrect account information
  • Issues with processing payments
  • Disputes over charges

In these situations, it is important to communicate with the account holder and work together to find a resolution that works for both parties.

One of the most common issues that can arise when billing to a third party account on UPS Worldship is a discrepancy in the billing address. This can occur when the address on file for the account holder does not match the address associated with the payment method being used. To avoid this issue, it is important to verify the billing address with the account holder before processing any charges.

Another issue that can occur when billing to a third party account is a delay in payment processing. This can happen when the account holder’s payment method is declined or when there is a delay in the processing of the payment. To avoid this issue, it is important to communicate with the account holder and ensure that their payment method is up to date and that there are no issues with processing the payment.

Follow these steps and guidelines to set up and bill your shipping charges to a third party account on UPS Worldship. With careful planning and communication, billing to a third party account can be a smooth and convenient option for all parties involved.

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