Direct debit
A Direct Debit is an instruction to your bank to let a company collect varying amounts from your account on agreed dates.
Also known as: direct debits
Direct Debits are protected by the Direct Debit Guarantee, which entitles you to an immediate refund from your bank if an error is made. They are commonly used for bills, insurance and credit card payments, and can help you avoid missed payments.
Make sure you have enough money in your account on collection days, since failed payments can lead to charges. You can cancel a Direct Debit at any time through your bank.
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10 min readReadThis page provides general information only. It is not personalised financial, legal or tax advice, and rules and figures can change. Your situation is unique — please check official sources such as GOV.UK and MoneyHelper, and speak to a qualified, FCA-authorised adviser before making important decisions about your money.