The Bacs Cycle
The Bacs Cycle is a 3 stage process in priciple. Stage One – Entry day. Submission of collections file via Bacstel-IP software, Bacs Bureau or Banking platform (online business banking) Stage Two – Processing day. Valid files processed, else rejected by Bacs (VOCALINK) with advice. Stage Three – Due Day (collection day). Money moves simultaneously, debiting the payer’s account and crediting the service user The stages above take place over 3 working days.
The steps to Direct Debit collection are:
A Direct Debit collection file is produced either by the user or by extracting the data from a main database.
The file is forwarded to Bacs either directly via Bacstel-IP or via a 3rd party (A Bureau via Bureau payments software or Bank through their internet banking).Click Clear Direct Debit Bureau to find out more about our Bacs Credit and Debit Services.
Bacs receive the file and based on the sort code information, forward the request for payment to the payer’s bank.
Unless the item is being returned unpaid, the money is debited from the payer’s account and credited to the Service User’s account on the collection day.