Freight audit and payment (FAP) firms are typically listed as a "bill to" party in carrier systems to ensure they receive invoices for a shipper. This designation also means that if a carrier issues a refund, the funds are sent to the company listed as the "bill to" party; aka your FAP firm. As part of annual due diligence, all shippers should validate they are receiving refunds from their provider. Even if your company handles payments to the carriers, refunds are still going to occur and likely will be sent to your FAP firm. A3 recommends that shippers:
If your company has never received a refund, this is a significant red flag that should be examined.