Direct Debit Service How it Works

Direct Debit essentially involves an organisation - for example, an insurance company, local authority or electricity company - and its customer agreeing that the organisation can collect the payment due by initiating a debit on the customer’s nominated bank account through the organisation’s bank. For the customer, the benefits are in not having to write a cheque and, provided there is enough money in the customer’s bank account, the payment of the account automatically. The benefits for an organisation stem from better management of cash flow.

Accepting direct debits is made easy with Flo2Cash's all-in-one package. All that you will have to do is to obtain the direct debit authority from your customers and we will handle the rest for you!

1. Direct Debit Authority

You will be issued a standard direct debit form from Flo2Cash that's fully compliant with NZBA standards and we will even put your business logo on the form so it looks like yours! Your customer completes a direct debit form or gives Instruction via phone, online, email or fax to Flo2Cash. Flo2Cash will process each direct debit authority for you and enter the customer data into the online payment management portal on your behalf.

A direct debit authority can be obtained by

• A signed copy of a direct debit authority form - Learn more
• Paperless direct debit over the phone - Learn more
• Paperless direct debit online - Learn more

2. Payment Scheduling and Processing

The direct debit payment is scheduled according to the direct debit authority automatically and presented to the customer. You don't need to do anything here. All debits fully automated by Flo2Cash for you.

3. Settlement of funds & Reporting

Once the direct debit payments have been processed and cleared, the funds will automatically be settled into your nominated bank account. You will also receive a report showing you what customer payments the settlement fund consists of.