Direct Debit: How long before they go 'Live'?

linuxpenguins

Quick question:

How long does it take from the moment you inform your bank to setup a direct debit their end, to show on the bank account of which they payment will come from?

In other words - How long before it is 'Live' or 'Active'?

I have setup three today in preparation for my 'sacrificial' RBS account to switch to TSB. But I need to be switched come 14th July

Thanks as ever!!:beer:

agrinnall

It might be a quick question, but there isn't a quick answer. It depends what you mean, or what the switching requirement is. If the DDs simply need to exist then although there's no set period they ought to be complete in time for a switch by 14th July. But if they need to be active, i.e. a payment has been taken at least once, there's a good chance it'll take longer, it really depends on who the DD originators are and what their payment schedule is.

linuxpenguins

agrinnall wrote: »

It might be a quick question, but there isn't a quick answer. It depends what you mean, or what the switching requirement is. If the DDs simply need to exist then although there's no set period they ought to be complete in time for a switch by 14th July. But if they need to be active, i.e. a payment has been taken at least once, there's a good chance it'll take longer, it really depends on who the DD originators are and what their payment schedule is.

Hi Agrinnall

They do need to be 'Active' for TSB as part of their conditions, but as I understand it (taken from MSE Website) "An active direct debit is one that has paid out in the last 13 months, or - if it has never paid out - is less than 13 months old"

The Direct Debits I have setup are;

PayPal (Still awaiting my online details to RBS (sacrificial account) so I can get the code so I can approve)
Barclaycard - No balance on there, but still
Credit Card with Nationwide (same as above)
Next (no balance, but still a direct debit)

So hopefully I have enough time to get this switched across in time?

To get the switching bonus, apply by 11.59pm on Mon 26 Jun and fully switch to it including 2+ active direct debits (what counts as active?) using TSB's switching service by Fri 14 Jul (DD's must still be active for at least 28 days after the switch completes). You also need to pay in £500+ in the first 28 days from switching.

badger09

In addition to agrinnall's comments, it also depends on your current account provider.

Some of mine only show a DD at all once it has been paid, whereas others show them with something like "amount not known" "payment date not known" as soon as the originator sets them up.

I don't have an RBS account so don't know how they show up.

linuxpenguins

I'm assuming that so long as they show on RBS when I can login that they're classed as active.

As comment from MSE active can also mean new within 13 months and I guess when I switch they won't know that they have never been collected upon?

That's what I'm hoping for anyway :money:

B_G_B

linuxpenguins wrote: »

How long does it take from the moment you inform your bank to setup a direct debit their end, to show on the bank account of which they payment will come from?

As far as I am aware, you don’t inform the bank that You are pulling the DD from. That is down to the organisation pulling the DD. Realistically, once the organisation has been asked to take a DD, it can be anything from a couple of days to a few weeks before this is arranged (and shows as a DD payment) with the bank that the DD is coming from.

linuxpenguins

Hopefully it is a few days to setup and I can make the deadline to switch.

I guess the TSB offer will be back even if I miss it, right? :j

mt99

I wonder if you could clarify - are you informing your bank to set up a direct debit? as far as I know that is not possible unless you are talking about something like a Tesco savings account

linuxpenguins

I have advised the companies that I have credit cards with (Nationwide and Barclaycard) to take the payments from my new RBS account in the form of Direct Debit.

I assume that they will now instruct RBS to set the mandate up on their side.

I need two 'active' direct debits on my new RBS account which I intend to use as a sacrificial accountto switch to TSB before 14th July.

I'm hoping that I have enough time for these Direct Debits to show on my RBS.

eskbanker

linuxpenguins wrote: »

as I understand it (taken from MSE Website) "An active direct debit is one that has paid out in the last 13 months, or - if it has never paid out - is less than 13 months old"

I don't think that the MSE definition is particularly helpful in this context - all it's effectively saying is that a DD becomes dormant if not used for 13 months and therefore ceases to be active at that point.

It's not really saying anything useful about when a DD starts to be considered active, which is the key point on this thread and others, and (anecdotally) would appear to vary from one bank to another.

alanq

With NatWest (part of RBS group) direct debit mandates don't show until the first payment is taken. With First Direct and many others they show before the first payment is taken which I feel is far more sensible.