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Paying road tax (VED) by direct debit.

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ianonline
ianonline Posts: 1,204 Forumite
Part of the Furniture 1,000 Posts Combo Breaker
Under the existing car tax rules, if you pay up front for 12 months tax then you lock in at the rate applicable at renewal and you don't pay any increased rate until you come to renew the following year.

But what happens when you pay by monthly direct debit? Does your direct debit increase when the rates (generally) go up each April (obviously, they'll have to inform you of any increase in advance) or are your direct debits fixed for 12 months from the date you usually renew each year (ie at the rate they quote on the V11 renewal reminder - which I understand they stop sending out when you switch to direct debit)?
Vehicle tax Direct Debit payments.

Your vehicle tax will renew automatically when it’s due to run out.

You’ll get an email or letter telling you when your Direct Debit payments will be taken.

You won’t be sent a vehicle tax reminder letter (V11).

Ian

Comments

  • Marvel1
    Marvel1 Posts: 7,436 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    It's fixed for12 months, and when it renews for the next 12 months it will be at the new price.
  • kmb500
    kmb500 Posts: 656 Forumite
    Eighth Anniversary 500 Posts Name Dropper
    I believe the whole thing is a fixed 12 month direct debit agreement and the amount won't change until the next 12 months have passed.
  • when paying by direct debit , you are paying the price divided by the mths
  • mine has stayed at the same price since it has started a couple of years back
    Sealed pot member 095 SPC No 7 £578.32
    sealed pot No 8 Target £750 TOTAL £1059.86:j
    sealed pot no 9 Target £1200 TOTAL £1073.38:cool:
    sealed pot no 10 Target £1200 TOTAL £1209
    sealed pot No 11 target £1250 total £TBC
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