What NewGen ISS means
The BSP had run on broadly the same model since 1971: one form of accreditation, cash and card forms of payment, and bank guarantees sized to each agent's sales. NewGen ISS kept the BSP but changed how risk and access are managed. IATA called it the most extensive change to the BSP since its creation.
Its first pillar is choice of accreditation. GoStandard is closest to the old model: single-country agents with a BSP cash facility, subject to local financial criteria. GoLite is a simpler model for agents that ticket only with IATA EasyPay and customer cards; because they hold no airline cash, financial security is minimal. GoGlobal lets a group accredit locations in several BSP markets under one agreement, with the parent providing security and an aggregated capacity limit. Agents can move between models as they grow.
The second pillar is Remittance Holding Capacity (RHC), a ceiling on cash sales not yet remitted. For most agents it is the average of their three highest reporting periods in the previous 12 months, plus 100%. Agents are alerted at 50%, 75% and 90%; at 100%, BSP cash sales stop until money is remitted.
The other elements were EasyPay, Global Default Insurance as an alternative to bank guarantees, and Transparency in Payments, which shows the cost of each form of payment and lets airlines agree agents' own cards bilaterally.
How NewGen ISS works
Under NewGen ISS an agency picks a model, receives a risk limit and manages its cash sales against it.
- Choose an accreditation modelThe agency applies for GoLite, GoStandard or GoGlobal depending on whether it needs a cash facility and how many BSP markets it operates in.
- Provide financial securityGoStandard and GoGlobal agents provide security such as a bank guarantee or, where offered, Global Default Insurance. GoLite needs only a minimal amount.
- RHC is calculatedIATA sets the agent's Remittance Holding Capacity from its risk status, historical BSP cash turnover and remittance frequency.
- Sell and monitor capacityCash sales draw down the RHC. The agency receives alerts at 50%, 75% and 90% of the limit.
- Act at the limitIf the RHC is reached, cash sales are restricted. The agency can remit early, issue with EasyPay or customer cards, or add security to raise its capacity.
NewGen ISS in practice
Rollout dates: IATA announced that Norway went live on 8 March 2018, with Finland, Sweden, Canada, Denmark, Bermuda, Iceland and Singapore scheduled to follow by mid-April 2018. At that time IATA expected every BSP market to migrate by the first quarter of 2020. All Norwegian agents initially moved to GoStandard.
RHC worked example (illustrative): an agent whose three busiest reporting periods in the last year produced cash sales of 6, 8 and 7 million in local currency has an average of 7 million. Adding 100% gives an RHC of 14 million in unremitted cash sales.
Illustrative case: a two-person online agency selling mainly by customer card chooses GoLite to avoid a large bank guarantee. When it later wants to offer cash sales to corporate clients, it moves to GoStandard and accepts an RHC.
Who uses it
Advantages and limitations
Advantages
- GoLite opens BSP ticketing to small agencies that cannot tie up capital in large bank guarantees.
- RHC limits stop unpaid cash sales from growing far beyond an agent's normal pattern, reducing default losses.
- GoGlobal simplifies accreditation for groups that operate in several BSP countries.
- Agents can switch models as their business changes rather than reapplying from scratch.
Limitations
- Agencies with sudden sales spikes, such as a large group booking, can hit their RHC and lose cash ticketing mid-period.
- GoLite agents depend on EasyPay and customer cards, which some airlines or fares restrict.
- Requirements and available security types still vary by country, so multi-market rules remain complex.
- Monitoring capacity and remitting early adds daily treasury work for agency finance teams.
Frequently asked questions about NewGen ISS
What is the difference between GoLite and GoStandard?
GoStandard is the closest to traditional accreditation: a single-country agent with a BSP cash facility, subject to local financial criteria and a Remittance Holding Capacity. GoLite has no cash facility. Agents issue tickets only with IATA EasyPay or customer cards, so IATA requires only minimal financial security.
How is Remittance Holding Capacity calculated?
For most agents, IATA takes the average of the three highest cash-sales reporting periods in the previous 12 months and adds 100%. The final figure also reflects the agent's risk status and remittance frequency. Providing extra financial security can raise it.
What happens when an agency reaches its RHC?
BSP cash sales are restricted until the agency remits. It can still issue tickets with IATA EasyPay or the traveller's card, pay in early to free capacity, or provide extra financial security to raise the limit. IATA sends warnings at 50%, 75% and 90% so agents can act first.
Who is GoGlobal accreditation for?
Agency groups with operations in more than one BSP market. GoGlobal lets the group accredit all its worldwide locations under one Passenger Sales Agency Agreement and one set of requirements, with the parent providing financial security for all locations and an aggregated Remittance Holding Capacity across the group.
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