Direct debit is the preferred payment method for over 63% of the UK’s bill paying population. This is due to the vast benefits that collecting payments via direct debit can bring to any business whether big or small.
Here is a list of the reasons why your business needs to incorporate direct debit payment collection:
– Direct debit makes managing your payment collections more cost efficient and manageable – direct debit is cheaper than cashing cheques and much safer than taking cash payments.
– You know the date when you will have cleared funds in your bank – With direct debit collections you will know the date you will get the payment into your bank which is especially helpful for small businesses that may have other out goings which they need to plan for.
– You can decide on and control the date you will receive the payment – again, perfect for small businesses, you can choose the date you will receive the funds into your bank and set it for when is best for your business.
– You decide how much and how often – collecting payments via direct debit means you can collect variable amounts on a regular or irregular basis once the client has given you permission to charge their bank account.
– Making collecting payment more efficient – direct debit is quick and easy and you can get rid of time consuming reconciliation too as you will only be notified with errors and non-payments. Any reconciliation can be carried out by exception as and when you need to.