Standing Orders, Direct Debits.

[AdamW]

Right Lads and Ladies....

I rent a flat which has 5 bedrooms....I am the main tenant with my name on the books. The rent goes out of my bank account on the first of each month. I rent to 4 of my mates who pay me in cash as they get paid on different dates each month. All been going well for a few months now but people seem to be falling behind on payments and putting it off. 2 people have already left due to falling out and other things. 2 new people have moved in and now I have told them I want to set up DD or standing orders on the 1st of each month for the sum of money. They all agree which is good.

What is the best way of doing this? Do I need to get them to set up a DD into my account? Or do I get a form for them to fill out so my bank takes money from their accounts and deposits it into mine?

Answers on a beer mat

Adam :wink:

[Luke]

Just get them to setup a Standing Order via there online bank or at the branch, to your bank account for the agreed amount each month.

Standing orders take abotu 5 working days to clear into your bank account once it's left theres, but I have been informed it's changing so it could be withing one hour now.

I think only companies can do DD's.

[Tupps]

All they need is your account number and sort code...

They can set it up online for the money to be transfered into your bank on any set date

[Luke]

Oh yeah, forgot to mention that.

They enter Acc No, Sort code and description of what it is. They can also set it so it carries on taking money until further notice or a certain date.

[Tupps]

This is how i pay board to mother tuppence....

£80 via online banking ftw

[Luke]

I do the same for my Mum...

I owe her some money too, so I have £360 leaving my bank (thru Online banking) on the 1st and it arrives in theres 5th or 6th.

[AdamW]

But I want it there on the 1st of each month and they get paid on the first? So surely it should be instant and not 5 days?, as that is no good

[Luke]

But I want it there on the 1st of each month and they get paid on the first? So surely it should be instant and not 5 days?, as that is no good

Who do you and they bank with?

A few banks are trialing this new way of transferring money, so it's there within an hour.

Otherwise, it's as mentioned mate and nothing you can I don't think.

[Scattle]

This is what my dad Does, he Set it up with his Online HSBC account and Pays me a Set amount each month for my Car Insurance, which is the 15th. But if the 15th is a Weekend it will go out the next working Day.

[Mark51]

surely they should have paid a month in advance or a bond or something? this should be there to cover them for the first months rent.

imo it would be safer and easier to manage if you set up a seperate account just to pay the rent.

im taking it they all pay the same rate?
do they know how much you are cahrged for the rent?
have you planned for times when there will be no-one in the flat so you will have to pay the full rent or do you all pay equal amounts e.g, 4 people there = £250 each, 2 people there = £500 each??

[Tupps]

If they bank with the same bank you do it'll be instant mate...

[AdamW]

Rent is £525 a month.....

They all pay me £200 a month so that is £800 in total off them.

This covers electrictiy,water,sky+,heating. So all in all Im quids in