[ARCHIVE] Direct Debits inclusion with recurring payments

Archived 2022.12.11. Content moved to Guidance on direct debits 

NOTE: This article has been updated and corrected upon further review.

Question

Are Direct Debits included as part of recurring payments? 

The Banking code of practice (BCOP) requests for similar information, and we wanted to know if the API requirements are the same for both.

Please refer to page 41 of the following link for more information:- 

Answer

Please note the following is the updated advice.

No. Only technical direct debit authorisations should be included in the Direct Debits API (not that this API isn't intended to show transactions but authorisations).

Where a data holder can deduce a recurring payment that would apply to credit/debit card accounts they should be represented via the Scheduled payments API.

Where a data holder can deduce a direct debit authorisation against an account (even if it is recurring or on a regular schedule) this would be shown via the Direct Debits API.

Please note: Old text and answer below.

Yes this is correct; it includes both. Noting that where a data holder can deduce a recurring payment this would apply to credit/debit card accounts via the direct debits API.

The financialInstituion in the BankingAuthorisedEntity would be omitted for credit cards.

The time range of required consumer data mentioned in the BCoP are referred to in the CDR Rules section 3.2. (4) (d) & (e) (page 109):

(d)  account data that relates to an authorisation on an account for direct debit deductions, where:

      (i)  the account is open at that time; and

     (ii)  the direct debit deduction occurred more than 13 months before that time; or

(e)  account data that relates to an authorisation on an account for direct debit deductions, where the account is closed at that time.

See

• Banking Code of Practice
• BankingAuthorisedEntity