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Direct Debits explained

Megganet uses 3 different types of Direct Debit mandate, all supplied by GoCardless.

Set up a Direct Debit account

When we need to set up a Direct Debit (DD) we email you a Direct Debit account request. Fill it in and submit it. We use GoCardless so the DD will originate from them. This creates an account between us and at this stage no money changes hands. Once the DD is setup, we may use it in three different ways.

1 – Direct Debit

This is to cover regular (usually monthly) payments of the same value.

This is used to pay for things like Internet services, leased lines, security software, email services etc. The monthly value does not frequently change so we use a fully automatic Direct Debit to cover these.

The Direct Debit usually transfers in the month the service covers.

The invoicing is carried out (mostly) automatically on a Saturday when the banks do not process payments. This is in case a bank creates a transfer after we have completed invoicing. This cuts down the chances of any overlaps and potential double invoicing. This also means that we can clearly mark the invoices are paid and you have no action to take.

The only downside is that the direct debit can transfer from your account up to 5 working days before you get the invoice. This is necessary as it allows us to mark your invoice as paid.

Your bank statement shows the charge date but the transfer may not complete for several days. Lets say your bank initiates a transfer on a Friday. The transfer may not show up on our system till the following week. This technically means that you will get your invoice marked as paid the week after your bank initiated the transfer. The important thing is, you will always get the invoice.

Most of our Microsoft and Bitdefender services month begins on or around the 27th of any given month. This means in real terms that if a Microsoft or Bitdefender licence is active on the 26th, 27th or 28th of any month, it technically means it is active for 2 months. So we would advise our clients that if they no longer need a service, please make sure we know about it at the latest on the 25th of the month so you do not get billed for the following month. Also If you need a new or additional licence, we recommend not requesting it close to the end of the month as you will not get the value out of it.

2 – Dynamic Direct Debit

If the value of the Direct Debit changes regularly (to pay for telephone calls on our telephone service or our VoIP service), we use a Dynamic Direct Debit (DDD).

This payment system is used to cover the previous months services.

Firstly, we create your invoice and mark it ‘To be paid by Direct Debit shortly’. Then we issue the payment request to our bank. After a few days, the payment will transfer from your bank to ours and at that point, then mark it off as paid. Note, processing the DDD’s is also, usually done on Saturdays.

Normally, we issue statements before the end of a month and the DDD’s at the beginning of the following month. This means that your DDD will not appear on your monthly statement (there is no need for it to as the DDD’s are paid automatically shortly after the invoice is created). But there are a few days between the creation of the invoice and the automatic payment of it. There may be occasions when statements get sent out after the DDD invoice is created and before the DDD invoice is paid, so the DDD may appear on your statement. If this occurs, do not pay the DDD, only the other parts of the statement (if any).

3 – One of payments

Occasionally, you may request that we take payment for a service or hardware using our transfer system. If you are on GoCardless, we will be able to take payment you request and mark it off as paid. If not, we can send you the link to sign up.

We also use this system to cover annual payments such as domain name hosting.


You can request a detailed breakdown of any of the services we provide, just email me a request.

Any identified and confirmed over payments will be credited or paid back on request.

Direct Debit Guarantee

Please check out the Direct Debit Guarantee at the GoCardless web site by clicking the following link GoCardless Direct Debit Guarantee

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