01353 864949

EDDI - Eazipay's Direct Debit Interface. An online portal to access and manage your Direct Debit accounts. find out more

small business guide to Bacs

Described as being systemically important to the efficient operation of the UKs financial service sector, Bacs has been at the heart of the UKs payment industry for some 50 years.

In 2018, Bacs became a wholly owns subsidiary of Pay.UK, which has now taken responsibility for Direct Debit, Bacs Direct Credit, the Current Account Switch Service, Cash ISA Transfer Service and the Industry Sort Code Directory.

Since its inception, more than 130 billion transactions have taken place. In 2018 alone 6.4 billion UK payments were made using Bacs services. A new record was set in November 2019, with 124 million transactions processed in a single day, while the value of transactions processed reached £58.8 billion on one day alone in April 2017, another record.

What Is Direct Debit?
A Direct Debit is an instruction from a customer to their bank or building society (sometimes called a payment service provider, or PSP) authorising them to make regular payments to another company, such as a mobile phone provider or a utility company. Account holders can even make charity payments by Direct Debit.

Around 9 out of 10 adults in the UK have at least one Direct Debit. 73% of household bills are paid this way and when asked for their payment preferences, 62 per cent said they preferred to pay their bills this way.

All Direct Debit payments are protected by the Direct Debit Guarantee, a money back consumer safeguard. If anything does go wrong, the customer will get their money back. The Direct Debit Guarantee applies to all Direct Debits and is supported by every PSP which offers Bacs Direct Debit payments.

What is Bacs Direct Credit
Bacs Direct Credit is an easy, safe, secure and reliable means of payment which allows organisations of all shapes and sizes to make payments to an account via their chosen PSP provider

In contrast to cash or cheque payments, Bacs Direct Credit cannot be stolen or ‘lost in the post.’

The popularity of this method of payment can be demonstrated by the fact that over 150,000 organisations in the UK make use of Bacs Direct Credit. It has been widely adopted to pay benefits, wages and salaries.

Almost 90 per cent of the country’s workforce is paid using this method and around one billion benefit payments are made through Bacs Direct Credit.

It is also the preferred way to pay for a range of other financial commitments like pension payments, employee expenses, insurance settlements and refunds

The advantages of Bacs Direct Credit are available to businesses whatever their size and sector and include:

  • Saving time and administration costs. With Bacs Direct Credit, the creation and authorisation of a payment file is a simple and inexpensive process.
  • Improved cash flow management. The business knows exactly when funds will leave their account.
  • Direct cost savings. Businesses can eliminate the use of cheques which saves money and postage costs.
  • Better payment terms. If you elect to pay suppliers by Bacs Direct Credit, businesses may be able to negotiate better terms by offering more flexible payment options.

For more information visit: www.bacs.co.uk or www.directdebit.co.uk

★★★★★

James Simpson
SkinViva Ltd
Wonderful company. They offer a very efficient service with a quick turnaround time between Direct Debits being processed and the funds being transferred to your business...

★★★★★

Karen Steel
A very efficient service, always prompt to reply to emails and queries. Never have any problems with our Direct Debits. When I first started my role as Financial Controller I had never dealt with Direct Debits before and my predecessor had left me with no instructions...

★★★★★

William Bailey
We are an independently owned self storage facility and have worked with Eazipay for the past 5 years. Our account manager Jazzmine M is professional, proactive and deals with all of our requests in a efficient and timely manner. I would recommend Eazipay without hesitation.

★★★★★

Mark Allen
Eazipay have been a fantastic help to our business. Their rates are reasonable and they have always been efficient and proactive. We are in our fifth year of using Eazipay and would gladly recommend them to anyone. They have been invaluable to us.

★★★★★

Paddy Jeyaseelan
Local Guide
Eazipay have been my direct debit collection provider for more than 6 years and have helped my business grow and make the process of direct debit collections straightforward and manageable...

NOTE! This site uses cookies and similar technologies.

cookies : our website uses cookies and similar technologies to help make this website better : read more here or are you happy to accept ?

 

 

Cookie Policy

Our Cookies Policy explains what cookies are, how we use cookies, how third-parties we may partner with may use cookies on the Service, your choices regarding cookies and further

What are cookies

Cookies are small pieces of text sent by your web browser by a website you visit. A cookie file is stored in your web browser and allows the Service or a third-party to recognize you and make your next visit easier and the Service more useful to you.

How Eazipay Ltd uses cookies

When you use and access the Service, we may place a number of cookies files in your web browser.

We use cookies for the following purposes: to enable certain functions of the Service, to provide analytics, to store your preferences, to enable advertisements delivery, including behavioural advertising.

We use both session and persistent cookies on the Service and we use different types of cookies to run the Service:
- Essential cookies. We may use essential cookies to authenticate users and prevent fraudulent use of user accounts.

For the full disclosure section, including all types of cookies, please click here.

Third-party cookies

In addition to our own cookies, we may also use various third-parties cookies to report usage statistics of the Service, deliver advertisements on and through the Service, and so on.

What are your choices regarding cookies

If you'd like to delete cookies or instruct your web browser to delete or refuse cookies, please visit the help pages of your web browser.

Please note, however, that if you delete cookies or refuse to accept them, you might not be able to use all of the features we offer, you may not be able to store your preferences, and some of our pages might not display properly.

More information about cookies

If you would like more information regarding Cookies please visit the below site:
ICO (Information Commissioner’s Office) - https://ico.org.uk/for-the-public/online/cookies/