Bank Better, Live Better

how debit orders work

Never worry about manual payments again. Switch to debit orders to save time and protect your credit profile.

Paying by debit order is a simple and reliable way of making sure you keep up to date with your repayments. You’ll never miss a payment and will be able to manage your budget better.

What is a debit order?

A debit order is a way for a third party, that you have given permission, to collect money from your bank account. It’s typically used to collect monthly subscriptions, insurance premiums or loan repayments.

Setting up a debit order

  • You’ll sign an agreement with the third party and provide them with your bank details
  • They’ll approach your bank for permission to collect a specific amount from your bank account. Only the party you signed the agreement with can cancel the debit order

Note: Banks charge you a fee for every debit order. These fees vary from one bank to the next.

The benefits of using a debit order

  • It’s convenient
  • It provides you with a payment history, making it easier to track and trace payments
  • It removes the stress of having to remember to make a manual payment
  • It lowers the likelihood that you will miss or skip a payment
  • It ensures that the payment is made on the correct day of every month

What happens if I don’t have enough money in my account to cover my debit order?

Your debit order won’t be paid and your bank will charge you a penalty fee. You'll pay a debit order rejection fees (as high as R115 at some banks), and late payment fees and interest will be added to your account.

Any bounced debit orders will also be recorded against your credit profile information. If it occurs often, it can affect your chances of getting credit in the future.

Tip: Pay all your accounts and necessities before spending on wants. Arrange for your debit orders to go off on or soon after payday to ensure you have enough money to pay them.

Dispute debit orders the easy way

If you suspect an unauthorised debit order going off your account, you can use our app to view all debit order activity on your account over the last 40 days.

Don't agree with a debit order? Sign in to your app, choose the debit order and dispute it.

Here's how:

  1. Choose Transact
  2. Choose Debit Orders
  3. Enter your secret Remote PIN to sign in
  4. Choose a debit order from the history menu
  5. Choose a reason for the dispute
  6. Accept the agreement

This short video clip (16 seconds) will show you how.

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