Direct Debits are different to card transactions because the money doesn’t leave your account right away.
If there isn’t, the Direct Debit could bounce and your account provider might charge a missed payment fee.
What happens if there is not enough money for direct debit?
What happens if I don’t have enough money in my account to cover the direct debit? If there is not enough money in your bank account to cover a direct debit payment, and you do not have an authorised overdraft facility, your account provider may refuse to pay the bill and issue you with a penalty charge.
What happens if payment bounces?
A bounced payment occurs when there isn’t enough money in your current account to fund a pre-arranged payment, so your bank refuses to make the payment. Banks usually charge you for each bounced payment. If a bank refuses to make a payment it must generally tell you as soon as possible and explain why.
What happens if a standing order is not paid?
A standing order payment will bounce if there isn’t enough money in your account to cover it. This can cause your bank to charge you hefty fees for going into an unauthorised overdraft.