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Why your customers should pay by direct debit

Posted at March 6, 2013 | By : | Categories : News | 0 Comment

When you call your customer chasing payment of an invoice, how many times have you heard the excuse “Sorry, I thought I had paid that” or “Sorry, I must have overlooked that one”?  If you had your customers on a direct debit arrangement you could say goodbye to these sorts of excuses.

By using direct debit, we debit your customer’s nominated account on the date specified by you, and for the amount specified by you – You are in CONTROL!  No more waiting on the customer to make the payment when they have the time or remember to.

  • The amount can be the same of different each time
  • The day of the week or month can be the same or different each time
  • Fully flexible schedules

There are other benefits of direct debit beyond the obvious cash flow benefits.  Each time a customer has to take some sort of action to make a payment to you, whether it be giving you cash, doing an EFT transfer, making a BPAY payment, or giving you their credit card, they are sub-consciously evaluating “do I really need this product/service”.

By paying by direct debit, once the customer has provided their initial direct debit authority the sub-conscious decisions they make when making a payment are minimised because the payment just happens without their intervention.  Ultimately this leads to increased customer retention which we all know is a great thing.  It is far more cost effective for a business to retain and grow their existing customers than to find new ones.

If you would like to have a chat to a Business Development Manager or you are ready to register to offer your customers direct debit simply click here.