Preauthorised Debit Form for the United Kingdom

Preauthorised Debit Form Template for England and Wales

A Preauthorised Debit Form is a legal document used in England and Wales that establishes an agreement between an account holder and a service provider, authorizing regular automatic payments from the account holder's bank account. The document complies with UK Direct Debit scheme rules and is protected by the Direct Debit Guarantee, providing security for both parties while facilitating recurring payments under English law.

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What is a Preauthorised Debit Form?

The Preauthorised Debit Form serves as a fundamental document in the UK's payment infrastructure, enabling businesses and service providers to collect recurring payments efficiently while protecting consumers under English law. This form is essential for establishing Direct Debit mandates, complying with Payment Services Regulations 2017 and UK Direct Debit scheme rules. It captures critical information including account holder details, bank information, payment specifications, and explicit authorization for automated debits, while incorporating mandatory consumer protections through the Direct Debit Guarantee.

What sections should be included in a Preauthorised Debit Form?

1. Account Holder Information: Full name, address, and contact details of the account holder

2. Bank Account Details: Sort code, account number, bank name and branch

3. Payment Details: Amount, frequency, and start date of payments

4. Authorization Statement: Clear statement of consent for direct debits

5. Direct Debit Guarantee: Standard guarantee text as required by Pay.UK

What sections are optional to include in a Preauthorised Debit Form?

1. Variable Payment Information: Used when payment amounts may vary, including maximum amount provisions

2. Multiple Account Options: When offering choice between different accounts for payment

3. Electronic Signature Section: When form is to be completed electronically

What schedules should be included in a Preauthorised Debit Form?

1. Privacy Notice: Details of how personal data will be processed

2. Payment Schedule: If regular payments are planned on specific dates

3. Terms and Conditions: Detailed terms governing the direct debit arrangement

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

England and Wales

Publisher

Genie AI

Document Type

Payment Agreement

Sector

Banking

Cost

Free to use
Industries

Payment Services Regulations 2017: UK regulations implementing PSD2, governing payment services and direct debits, including requirements for consent and authorization procedures for payment services

UK Direct Debit Scheme Rules: Operational framework managed by Pay.UK that sets out rules for direct debits, including the Direct Debit Guarantee and customer protections

Consumer Rights Act 2015: Legislation ensuring fairness in consumer contracts, transparency of terms, and protection against unfair terms and conditions

Data Protection Act 2018 and UK GDPR: Legal framework for personal data protection, requiring clear privacy notices and compliance with data protection principles

Financial Services and Markets Act 2000: Primary legislation providing regulatory framework for financial services and payment processing in the UK

Electronic Communications Act 2000: Legislation governing electronic signatures and electronic contracts, relevant for digital form implementations

Equality Act 2010: Legislation ensuring accessibility, preventing discrimination, and requiring reasonable adjustments in service provision

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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