Summary: When the Third-Party Billing default is not set on a batch, the system assumes Prepaid and shipments go out first-party. Set and enforce the Third-Party Billing default on every batch that needs it.

Problem

A batch of shipments that should bill a third-party account went out first-party (Prepaid) instead. Some batches billed correctly and others did not, so the third-party charges landed on your own carrier invoice.

Cause

If the Third-Party Billing default is not set on a batch, the system assumes the batch ships Prepaid, so those shipments bill first-party. This also happens on a batch upload that links a third-party account per order but leaves Terms blank: with no Terms, the batch defaults to Prepaid and the linked account is not billed. Prepaid bills the shipper account set on the profile or batch; Third-Party Billing bills a separate third-party account.

How to check: Open the batch Defaults and see whether the Third-Party Billing term is set and enforced. On an upload, check that the Terms column is filled in.

Fix

  1. When you prepare a batch that should bill a third party, set the Third-Party Billing default in the batch Defaults.
  2. Turn on Override for that default so order data cannot switch it back to Prepaid.
  3. Confirm the third-party account number and billing fields are filled in before you process.
  4. On a batch upload, include the Terms (Third Party) in the file or the Defaults. A linked third-party account by itself does not set the billing term.
  5. After processing, spot-check a shipment to confirm the term is third-party, not Prepaid.
  6. To bill a specific account under Prepaid (for example, a customer who wants their own UPS account charged instead of Third Party), set that account as the shipping account on the profile or batch.

What you should see

Processed shipments show third-party billing, and the intended third-party account is billed instead of your own.

Related articles

  • Prepaid shipment flips to Bill Consignee (invalid account number)
  • Third-party billing reverts to prepaid: recreate the _BILLTO entry