Direct Debit Best Practice – Improve Process Efficiency

Could you reduce the cost of collecting monthly payments by up to 90%?

Membership and subscription-based organisations could potentially save up to 90% by switching to a single monthly direct debit collection submission.


Faster Workout Gym has 200 active gym members.

Faster Workout Gym collects monthly membership fees on a daily basis, with batches of Direct Debit requests submitted each working day of the month. The collection date is usually based on the date the customer signed up, however offering flexible payment dates remains key to their customer acquisition strategy.

How can they improve this process?

With the daily submission of Direct Debit files, not only is the finance department kept busy with a daily task of extracting, uploading, approving and submitting their file, the cost of sending Direct Debit requests could be higher than it needs to be – incurring a ‘File Charge’ from their bank every time they submit.

In order to improve process efficiency and reduce the cost of their Bacs submissions, Faster Workout Gym could process all of their regular collections in one monthly file submission, with each customer’s collection date specified.

How do the costs compare?

  Batch DD
Per File
Per File
Per Month
Monthly 1 200 £5.00 £5.00 £1260.00
Daily (Current ) 22 9 £5.00 £110.00 £0.00
Weekly 4 50 £5.00 £20.00 £1080.00
Fortnightly 2 100 £5.00 £10.00 £1200.00


The same amount of money is collected each month and on the required dates, however:

  • The cost of collecting the money is significantly reduced– potentially by up to 90%
  • The time it takes to submit direct debit requests is also reduced– one monthly request instead of 22.

Ideal Solution – Fortnightly Collections

  • 20 file submissions fewer than if submissions were made daily
  • Save over 90% [Faster Workout Gym would save £1,200.00]
  • With each submission process taking around 25 minutes, there is a saving of nearly 8.5 hours per month, or one working day.

Flexibility: First payment could be collected by Debit / Credit Card to allow instant membership and access to services, with future payments scheduled to be included in either the first or second Direct Debit batch. The AUDDIS (0N) could be included in the first batch, with the first collection (01) to be included in the second approx. 2 weeks later.

Did You Know?

  • Direct Debit scheme rules suggest Best Practice is to wait 5 working days before submitting a collection file for a DDI (Direct Debit Instruction) which has been lodged.
  • Direct Debit and Direct Credit files submitted directly to Bacstel-IP can be submitted up to 30 days in advance. Useful for regular collections and for covering staff holidays and sickness!


While Direct Debit payments are widely regarded as the most cost effective solution for membership and subscription-based organisations to collect payments, the frequency of submissions to Bacs could mean your business is paying more than it has to.

By considering the file and transaction charges levied by your bank, you could calculate the optimum submission schedule – giving you the most cost-effective and most efficient process.

Do you feel like your Direct Debit
process could do with some TLC?

AccessPay makes it easy to collect Direct Debit payments

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