From Bank Giro Credit to Faster Payments

Gizmo247

I noticed this month that my wages were marked as paid via "Faster Payments" rather than the normal "Bank Giro Credit".

This just got me wondering; this is a company with thousands of employees so they don't pop down the bank with a cheque book.

So were my wages being delivered via BACS previously or something else. My employer pledges to pay on the last working day of the month (very handy for budgeting purposes) so BACS would require some careful planning to ensure wages were delivered on time.

Hazzanet

It would have been a BACS Direct Credit in the past.

Strange they moved away from that because generally it's more economical to stick with BACS if you already have the infrastructure in place.

rb10

It may just be a change in the way that your bank displays the transaction.

They aren't always correct - Lloyds and Halifax still show BACS Direct Credits as 'Bank Giro Credits' on statements.

agrinnall

It could well be what rb10 says. However, it could also be that your employer's bank has offered them a better deal to use FPS rather than BACS DC; it's a while since I worked with either but it wouldn't surprise me to find that banks are trying to wind down the use of BDC given the investment they have made in the FP infrastructure.