How can I set up a direct debit?
To set up a direct debit, you arrange a direct debit authority. This allows a service provider to withdraw money from your account.
Providers may specify direct debit payments as a condition of signing up for a product or service.
You can set up a direct debit to withdraw money from your bank account or set up a recurring payment from your credit card.
The amount can be fixed or variable and can come out at set dates or at regular intervals. For example, you could set up a direct debit with:
- your real estate agent to pay your rent on the first day of every month.
- your electricity provider to pay your bill from your transaction account or credit every 3 months.
- your insurance provider to pay your monthly insurance premium from your transaction account or credit card.