Direct Debit has emerged as a simple and convenient way to pay all of your bills. This gives you the freedom to allow your bank or building society to collect varying amounts from your account. Usually, a Direct Debit scheme has two major components i.e. Direct Debit payments and Direct Debit collection.
- Direct Debit Payments
Direct Debit tends to be an easy way to make payments. It is equally beneficial for household bills and business commitments. With Direct Debit payments, your bills are paid automatically and on time so there is no risk of late payment charges. The benefits are worth the time you spend to set up a Direct Debit plan for yourself.
- Direct Debit Collection
Like making payments, Debit Direct provides companies and organizations with the simplest way to collect all sorts of payments from their customers and consumers. The easy and convenient process of direct debit collection helps you save lots of time, reduce collection costs, and get cleared funds directly into your bank account.
Direct Debit Benefits
Several benefits make direct debit an ideal way to manage your regular cash flow whether you are a homemaker or a businessman. Some of the important benefits are as below:
- Direct Debit is inexpensive and safe.
- It allows you to control the receipt date into your account.
- It lets you receive cleared funds in your account on a predetermined time.
- You can enjoy direct debit collection of variable amounts both on regular and irregular time.
- Direct debit is handy in eliminating time-consuming reconciliation. Since you will only receive notifications for non-payments and errors, it becomes easy to do reconciliation by exception.
One of the most encouraging aspects of a Direct Debit scheme is that it comes with a guarantee to protect your money. Generally, this guarantee is offered by your bank and your building society that also participate in the scheme.