in Business

5 Direct Debit myths debunked

We debunk the most common myths about Direct Debit

It’s been a British institution since the 1960s, but in the last half century, Direct Debit has gone from clunky and paper-based, to sleek, slick and simple. In this post, we’ll clear up some common misconceptions around Direct Debit, giving you the latest on the UK’s most popular method for collecting recurring payments.

Myth 1: Gaining access to Direct Debit is difficult

In the past, you could only access Direct Debit directly, through your bank. The process was (and still is in some cases) slow and required significant effort and expense for the person applying - in both setup and ongoing management.

For large businesses with high transaction volumes, who can meet the revenue criteria of banks and who don’t mind hiring people to manage the process (and sourcing their own software), direct access may still be the preferred route.

But today, there's a simpler way to access Direct Debit - indirectly, via a bureau that manages the Direct Debit process with the bank on your behalf. Bureaus like GoCardless provide an online plug-in-and-go service, significantly reducing setup time and cost, as well as ongoing management and admin.

Myth 2: Direct Debit is unsafe

Continue reading...

Direct Debit it the digital age
Find out more
By using this site you agree to the use of cookies for analytics, personalised content and ads. Learn more