# Settlements

A settlement represents the transfer of collected funds from Ripple to your designated account.

Collections and channels bring funds *in*, crediting an [account](/products/collections/concepts/accounts)'s sub-ledger. A settlement moves those funds *out*, to the destination you have configured. In v1, settlements are tied to accounts, which gives you a clear trail from the account that received the money to the payout that disbursed it.

Every [transaction](/products/collections/concepts/transactions) included in a settlement carries that settlement's `settlement_id`. Cross-referencing the two is how you confirm that received funds and paid-out funds agree.

## How settlements relate to other resources

- A settlement draws from an [account](/products/collections/concepts/accounts) balance.
- It covers one or more [transactions](/products/collections/concepts/transactions), each stamped with its `settlement_id`.
- Settlement progress emits `SETTLEMENT_INITIATED`, `SETTLEMENT_COMPLETED`, and `SETTLEMENT_FAILED` [webhook](/products/collections/concepts/webhooks) events.


## API operations

- [Create a settlement](/products/collections/api/collections/settlements/createsettlementv1): Initiate a new settlement for an account.
- [List settlements](/products/collections/api/collections/settlements/listsettlementsv1): Retrieve a list of all settlements, which can be filtered by `id`, `type`, or `status`.
- [Get settlement by ID](/products/collections/api/collections/settlements/getsettlementbyidv1): View the full details and current status of a single settlement.