While setting up a Direct Debit is known for its convenience and efficiency, transferring Direct Debits to another account is also a straightforward process. Both customers and organisations may wish to move Direct Debits for various reasons.
For example, a customer might wish to continue using a company’s services while changing their bank account. Although this process might initially appear complex, transferring Direct Debit payments to a new account can be accomplished quickly and easily.
Alternatively, a business may decide that it is time to switch to a different Direct Debit management solution provider. This decision may be driven by various factors, such as evolving financial or organisational objectives.
When transferring Direct Debit payments to a new provider, enterprises must ensure that regulatory compliance is maintained. This protects customer data and aligns with guidelines such as Know Your Customer, ensuring that records remain current and accurate.
In this article, we explore how both customers and businesses can transfer Direct Debits to a new account to meet their specific needs.
Contents
- How to move Direct Debits to another account for customers.
- What is the Direct Debit bulk change process?
- Moving Direct Debit provider.
- Your Direct Debit service specialists at Interbacs.
How to move Direct Debits to another account for customers
Customers may utilise the Current Account Switch Service (CASS), which covers nearly all UK current accounts. If the new bank account provider participates in the service, the switch – including all associated payments – can be completed automatically in approximately seven days.
CASS, which is part of Pay.UK, will transfer a customer’s bank balance, payments, and salary without any fees. Once a customer selects a new bank account provider, CASS initiates the transfer of essential account details.
It is advisable that customers refrain from setting up new Direct Debits during the transfer process, ensuring that no information is lost and that payment processing remains uninterrupted within the designated timeframe.
What is the Direct Debit bulk change process?
For businesses, transferring Direct Debits to a new account may involve shifting all customer Direct Debit payments to a new service provider.
The bulk change process involves updating every customer Direct Debit mandate, which results in changes to the reference and Service User Number (SUN) associated with each mandate. Although no action is required from customers, they must be notified of these updates.
Opting to transfer all Direct Debit payments via the bulk change process requires notifying all affected customers, the bank, and, if applicable, your current Direct Debit service provider.
After finalising an agreement with a new Direct Debit management service, the bulk change process for all Direct Debit payments will be initiated.
The new Direct Debit management service provider will require the following information:
- Customer name, email, address, and bank details.
- A unique identifier that links each customer record with their Direct Debit mandate.
- Customer payment records, including payment amounts, dates, and scheduled future payments.
Moving Direct Debit service provider
Organisations frequently manage multiple operational streams simultaneously. In today’s dynamic economic environment, time and cost efficiency are paramount.
Each business may have its own reasons for switching Direct Debit facilities management providers. For instance, a company might seek improved service levels, a new payment arrangement, reduced administrative burdens, or enhanced payment visibility.
Regardless of the reason for switching, your new Direct Debit service provider should align with your business vision and goals. A forward-thinking provider, such as Interbacs, can implement Direct Debit management software that automates payments and streamlines administration, thereby enhancing cost efficiency.
Your Direct Debit service specialists at Interbacs
With extensive experience in managing Direct Debit services and adherence to industry standards, our team is ready to help you maximise the benefits of your Direct Debit payments.
We are not only a Bacs-approved bureau but also a Bacs-accredited facilities management provider, ensuring that the highest standards are maintained throughout our partnership.
We can assist with all your Bacs payment requirements—from setting up Direct Debit mandates to ensuring compliance with debit schemes.
Whether you require assistance with Bacs transfers, bank account management, or faster payment solutions, we are here to help.
Contact us today to discuss how we can support your business both now and in the future.
Photo: © vitapix from Getty Images Signature
