UPS offers you several billing options so you have the flexibility to choose the payment method that suits you or your customers best. If you don't indicate a payment method at the time of shipping, charges are billed to the shipper.
UPS billing options include:
Bill Shipper (Prepaid) - UPS bills shipping charges to the shipper's UPS account number.
Bill Receiver (Collect) - UPS bills shipping charges to the receiver.*
Bill Third Party (3rd Party) - UPS bills shipping charges to a party other than the shipper or receiver. The third party must have a valid UPS account number and must have agreed to accept the charges.*
Bill Payment Card - UPS bills shipping charges to a payment card (available when creating a shipment on ups.com or when using a UPS shipping document).
Note: Air freight services are billed only to the shipper.
*UPS accepts shipments for Collect and Third Party billing as long as the receiver or third party has a valid UPS account number and has agreed to accept the charges. In the event of non-payment by the receiver or third party, the charges are billed back to the shipper.