To collect a Direct Debit, the customer must issue you with a Direct Debit Instruction. This Instruction authorises you to collect payments in the future – these can be at any point and at any time but must be in relation to the agreed services.
A Direct Debit Instruction can be set up through a paper form, online, over the phone, face to face, or using electronic signatures depending on an organisation’s set-up with the sponsoring bank.
Paper instructions
For paper instructions, the Direct Debit scheme rules include strict controls over the layout and content of the forms provided. These rules can be found in the
Service User Guide and are also available from your bank. Before you can use a Paper Instruction, you will need to get it approved by your sponsoring bank.
Once a paper instruction has been completed and returned to you, you will need to submit the details to your sponsoring bank and the payee's bank, and you should keep the paper instruction for your records.
Paperless Direct Debit
Instructions that are completed online, over the phone, face to face and by electronic signature can be done as a ‘Paperless Direct Debit’, removing the need for paper communication between a Service User and the customer.
The online forms, phone and in person scripts will need to be approved by your sponsoring bank.
To use these methods, you need to be a user of the
Automated Direct Debit Instruction Service (AUDDIS) and have approval from your sponsoring bank.
