Direct Debit is a plan payment service for your household bills, insurance premiums, club memberships and more. It’s an easy way to have your payments automatically debited from your bank account on the due date.
Using this to know about direct debit providers plan service can help you avoid late fees or having to pay by cash or cheque when you’re short of money at the end of the month. If you are not available at home during the day, it can be more convenient than standing in line waiting for tellers at banks or paying by EFTPOS or credit card over the phone.
There are five reputable direct debit service providers in Australia with different features and services depending on your needs. They are listed below, along with their monthly fee, transaction fees and minimum number of transactions required per month. It’s best to compare different services before making up your mind about which one is the best option for you.
1. BPAY Pty Ltd
Monthly Fee: $0 – Transaction Fees: 3% of the total bill if paid within 15 days after statement date or 5% if paid more than 15 days after statement date – Minimum Number of Transactions Required Per Month: One transaction per month
2. Afterpay
Monthly Fee: $0 – Transaction Fees: 3% of the total bill if paid within 21 days after statement date, 4.5% if paid between 22 and 49 days after statement date or 6% if paid more than 49 days after statement date – Minimum Number of Transactions Required Per Month: One transaction per month
3. Zip Bill Pty Ltd (Zip Pay)
Monthly Fee: $1.95 for individual users; $4.95 for small businesses with turnover below $20,000; free for medium to large business customers with turnovers above $300 000 – Transaction Fees: 2% of the total bill if paid within 15 days after statement date or 4% if paid more than 15 days after statement date – Minimum Number of Transactions Required Per Month: One transaction per month
4. For the People Payments
Monthly Fee: $5 for individual users; $75 for small businesses with turnover below $250 000; free for medium to large business customers with turnovers above $1.5 million – Transaction Fees: 3% of the total bill if paid within 15 days after statement date or 5% if paid more than 15 days after statement date – Minimum Number of Transactions Required Per Month: Two transactions per month
5. Afterpay (the Pay Later Plan)
Monthly Fee: No monthly fee, but a one-off registration fee of 99c is charged for each transaction. The one-off registration fee will be automatically deducted from your first transaction with Afterpay. – Transaction Fees: 3% of the total bill if paid within 21 days after statement date, 4.5% if paid between 22 and 49 days after statement date or 6% if paid more than 49 days after statement date – Minimum Number of Transactions Required Per Month: One transaction per month.
