Direct Debit

[jrtv]

If someone wants to pay me a fixed sum every month from their bank to mine how do we set it up.

[Ethel]

If the person paying has internet banking it's very simple.

They need your name, the name of the bank (Barclays for example), your sort code and account number - both on your cheques.

It can be set up through payment/transfers, including the amount and date of the month to be paid.

If there is no internet banking, he needs to get a direct debit mandate from his own bank, you fill in the same details and sign it. It is then sent to his bank.

[chazza]

If it is the same amount of money every month it is a standing order. If the amount is likely to vary, it is a direct debit

[Oneeyedvic]

You will not be able to set up a direct debit mandate unless you are in business - it is not very easy then either.

You cannot (as Ethel suggests) get a blank DD Mandate and fill it in - you need complex computer structures and a lot of different people paying you to do this.

as a company, we investigated having some of our companies pay us by way of dd mandate - the cost (from memory - it was around a year ago) in the thousands.

As suggested, the only way to do this is by Standing order

[dzug]

You can't set up a direct debit between personal accounts as already stated.

Your friend will have to set up a standing order - if he can't do it on line he can just write to the bank giving them the details of your account, the amount to be paid and the day of the month it is to be done.

[Oneeyedvic]

Sorry IAP but you are totally wrong. You cannot have a Direct Debit between two people - only between people and companies or companies and companies.

http://www.bacs.co.uk/BPSL/directdebit/general public/faqs/DC_public_FAQ.htm#Q16

"Q. Who makes sure that the organisations collecting money are reputable?

A. All organisations using the Direct Debit system are sponsored into the Scheme by their bank or building society. They are checked for integrity, sound financial standing and administrative capability before being permitted to offer Direct Debit to their customers"

I have just been on the NatWest site and logged in as I to am an online customer - you have set up a standing order, not a Direct Debit (unless of course you signed up to the Direct Debit Guarantee - a condition of setting up DDs)

[tilly1]

it is called a standing order!! they need to contact their bank with your details

[jrtv]

OK Done it ! He went to his bank with my details and they did it for him, he just had to sign the standing order form.
The only thing I didn't do was to give a reference number to him so I could track it in my account, I found this out when his bank phoned me up and asked me for one which I thought was very good. Thank you all for your help.