|
Do you need to improve customer sign up or increase retention rates? Are you trying to improve the way you process membership fees? Perhaps you want to streamline the administrative tasks of collecting monies. An efficient Direct Debit system would achieve all these objectives and more. Here are some handy hints for when you are considering how to start. 1. Talk to your bank. Your bank will need to approve your application to collect money via direct debit. They will assess your organisation in terms of your company’s financial stability, size and administrative processes. Once they approve you, they will then act as your sponsor in the Direct Debit scheme, liaise on your behalf and pass on your unique Service User number which you will need in order to start processing payments. 2. Weigh up the benefits of in-house vs out-sourced options. Before deciding on the best solution for your organisation you will need to consider your internal resources, the volume and frequency of your collections and the amount of revenue generated via Direct Debits. With an out-sourced option, there will be fewer start up costs as you won’t need to purchase any expensive Direct Debit software and the out-sourced company will provide the expertise in setting up the system. The system can always be brought in-house at a later time. With an in house option, you will need software but you will retain full control. 3. Consider adding Direct Debit as an additional payment collection method vs setting it as the standard payment channel for everyone. Any additional options for how membership fees should be paid will increase the number of customers willing to sign up. However, Direct Debit is the preferred payment method for approximately 8 out of 10 people and reducing the number of different avenues via which a customer could pay, also reduces the number of different administrative steps and systems you need to manage. 4. Go paperless from the start. Integrating a paperless sign up system into an existing telephone call centre or company website is easier than ever. This means you can offer the ability for immediate sign up. Just remember that in order to protect both parties, there are strict rules governing what information needs to be available for customers to read / listen to. 5. Remember training. Ensuring compliance with scheme rules on a day to day basis doesn’t have to be difficult – as long as staff are trained. Proper accredited training will mean that companies can avoid the potential pitfalls and financial penalties of a poorly administered system. It will typically take a minimum of 6 weeks to set up a new Direct Debit system, though often longer, especially when resources are limited. The journey to set up a new system is not always an easy one but don’t despair, we can guide you through the process and make it all ‘Clear’.
|
|
Setting up a Direct Debit System doesn’t have to be confusing |
|
© Clear Academy Ltd 2011, Clear Academy is a trading name of Cleara Consulting Ltd. company registration number 07081560 |
|
Home I Training I Consultancy I Contact us I About us I News I FAQs I Glossary I Clients |
|
New Direct Debit Set Up |
|
Home I Training I Consultancy I Contact us I About us I News I FAQs I Glossary I Clients |
