Direct debits and bank holidays.

cleggie

Hi all,
i am wondering if someone can answer a question for me.

I have a DD that i pay out every month on 27th. In December, is the 27th a holiday (in lieu of 25th)?

If it is a holiday, when will the DD come out of my bank? I dont think it'll come out on 26th (Boxing day) or 25th (Xmas day), so will it come out on 24th or will it still come out on the 27th?
I am confused and any help will be great, thanks.

opinions4u

cleggie wrote: »

Hi all,
i am wondering if someone can answer a question for me.

I have a DD that i pay out every month on 27th. In December, is the 27th a holiday (in lieu of 25th)?

If it is a holiday, when will the DD come out of my bank? I dont think it'll come out on 26th (Boxing day) or 25th (Xmas day), so will it come out on 24th or will it still come out on the 27th?
I am confused and any help will be great, thanks.

The 28th would be a good bet.

YorkshireBoy

It will almost certainly come out on Wednesday 28th December.

However, you need to look at your specific agreement/statement, or speak with the DD originator, because some will say "on or around xx/xx/xx"...others will say "on xx/xx/xx or the previous working day" (ie Friday 23rd)...and others will say "on xx/xx/xx, or the next working day" (which is the norm, and in your case would be December 28th).

cleggie

Oh i am such a numpty!!
Its a SO not a DD..so i can just change the date to 28th for December only just to make sure that it isnt taken before. D'oh!
Thanks for the help guys.

YorkshireBoy

There's nothing to gain by changing the date.

The money won't go before the 28th, although it may reflect in your available balance before then (known as 'earmarking' of funds)...possibly when they close off Friday 23rd December. And that's just because you can't replace the funds, should you remember any last minute Xmas presents and go spending on Saturday 24th.

cleggie

In that case i'll just leave it as it is.
Thanks for your help!

pmduk

Certainly RBS group and Barclays will take the money at close of business on 23rd Dec, whilst dating the transactions for the 28th. Just watch the complaints in early January. They happen every time!

NFH

Remember that the company has to give you 10 working days' notice before taking the money, relevant if it's a variable amount that changes every month. This may cause the transaction date to be later.

cleggie

pmduk wrote: »

Certainly RBS group and Barclays will take the money at close of business on 23rd Dec, whilst dating the transactions for the 28th. Just watch the complaints in early January. They happen every time!

Would that happen with a SO as well as a DD?

pmduk

I can't say, I'm not familiar with standing orders these days. With the introduction of Faster Payments, I make manual payments as and when necessary.