BACS Payment Times

each_uisge

Wondering if someone who works in banking/payroll can answer my query?

How long does it take a BACS payment to go through to a bank account from the time of instruction by the payer to the payees account?

I was under the impression that it was three working days?

Therefore for money to appear into an account on Friday, the payment would have to be processed on the Tuesday wouldn't it?

Or have I got it wrong?

TIA

NFH

No, it's T+2. Therefore if a normal consumer BACS payment is debited on Wednesday, then it will reach the payee's account on Friday. You also mention "payroll", which involves a different type of BACS for large employers, which I believe operates on a same day basis.

Lokolo

Depends when it actually leaves the account. If the money is sent on a Wednesday it could arrive on the Friday. But Tuesday to be certain (Lloyds for example don't send until the next day, so you put the order through, but it doesn't leave until the following day).

DCodd

Lokolo wrote: »

Depends when it actually leaves the account. If the money is sent on a Wednesday it could arrive on the Friday. But Tuesday to be certain (Lloyds for example don't send until the next day, so you put the order through, but it doesn't leave until the following day).

We bank with Lloyds and do our payroll on a Wednesday, issue the BACS payment on the Wednesday and it credits our employee's accounts on the Friday.

It is as NFH has said T+2.

Lokolo

DCodd wrote: »

We bank with Lloyds and do our payroll on a Wednesday, issue the BACS payment on the Wednesday and it credits our employee's accounts on the Friday.

It is as NFH has said T+2.

Hmm very odd. I don't actually keep an eye on the actual dates, I just notice it doesn't leave until the next day. For example, if I set to send £100 to CC via BACS now, the "action" will be in my payments list, but not actually leave until tomorrow. I am unsure whether Lloyds does still send it today (which you suggest) or tomorrow. Guess it doesn't really matter for me, so I'm sure you are correct.

agrinnall

Lokolo wrote: »

Hmm very odd. I don't actually keep an eye on the actual dates, I just notice it doesn't leave until the next day. For example, if I set to send £100 to CC via BACS now, the "action" will be in my payments list, but not actually leave until tomorrow. I am unsure whether Lloyds does still send it today (which you suggest) or tomorrow. Guess it doesn't really matter for me, so I'm sure you are correct.

I would be surprised if Lloyds don't send it today (depending on when their BACS cut off time is), maybe they are not showing it as debited from your account for an extra day to allow you the vast amount of interest that would otherwise be lost . NFH is right about the standard BACS timings, if you make a payment today (Day 1) it will be sent by your bank to BACS tonight, they will send it to the payee's bank tomorrow (Day 2) who will process the credit overnight to be dated the following day (Day 3).

each_uisge

Thanks for the input folks, much appreciated.

I only ask as we've been advised at work that we won't be getting paid until 30/12/2011:( .

I thought having the Bank Holidays on the Monday and Tuesday of that week might have affected the timings somewhat.

Oh well, at least I'll have money to celebrate new year :beer:

Mikeyorks

each_uisge wrote: »

I thought having the Bank Holidays on the Monday and Tuesday of that week might have affected the timings somewhat.

This is BACS Direct Credit ...... not BACS.

There is a difference - as the payroll is pre submitted with a specific target date of when your account is to be credited. And the company account is to be debited - as they occur on the same day.