Standing Order Vs Direct Debit – What is the Difference?

Standing Order

A standing order is a payment instruction that you set up with your bank to pay a certain amount of money to another person or organisation on a regular basis.

Direct Debit

A Direct Debit payment mechanism enables businesses or organisations to withdraw funds straight from a customer's bank account. It is a contract between a consumer and a firm in which the customer authorises the company to withdraw funds on particular dates for recurring payments.

What Happens if a Standing Order is Not Paid?

If there are insufficient money in your account to fulfil the standing order payment, it will most likely be returned unpaid. If this happens frequently, your bank may levy additional fees and your credit score may suffer as a result.

If you want more information about the finane direct debit and standing order visit: