Direct Debit Guarantee
Every organisation using Direct Debit is inspected and vetted by the banks before they’re allowed to collect your money. The banks are responsible for money being refunded if things were to go wrong, so you can bet they’re very thorough.
That said, we know you want to be completely confident that you and your hard-earned money are in safe hands (after all, the cash is being collected from your bank account) and that’s why we have the Direct Debit Guarantee. The Guarantee applies to every single Direct Debit, protecting you just in case someone makes a mistake, like collecting your money on the wrong day or taking the wrong amount.
What the Guarantee doesn’t do is affect the contract you have with a biller. For example, if you make a monthly payment for a mobile phone, and the biller takes the wrong amount, you can claim that money back but you will still owe the biller for the calls you’ve made and the data you’ve used, or for the amount you agreed to pay.
Here’s the formal bit:
- The Guarantee is offered by all banks and building societies that accept instructions to pay Direct Debits
- If there are any changes to the amount, date or frequency of your Direct Debit the organisation will notify you (normally 10 working days) in advance of your account being debited or as otherwise agreed. If you request the organisation to collect a payment, confirmation of the amount and date will be given to you at the time of the request
- If an error is made in the payment of your Direct Debit, by the organisation or your bank or building society, you are entitled to a full and immediate refund of the amount paid from your bank or building society
- If you receive a refund you are not entitled to, you must pay it back when the organisation asks you to
You can cancel a Direct Debit at any time by simply contacting your bank or building society. Written confirmation may be required. Please also notify the organisation.