City Ledger Accounts: These are all accounts to whom credit sales is offered. Usually, those are corporate accounts, travel agents, and reservation websites etc. It is typically known as 'Direct Billing' accounts, where the guest is not charged for their stay at the hotel, instead, their bill is posted to respective city ledger account. All due amount is settled at the end of billing cycle.
As per process flow, hoteliers send all due invoices and reports for the due amount to city ledger account holders at the end of their billing cycle. Once it is authorised, city ledgers make payment to the hotel in order to settle the pending bills and adjust the due amount.