Question about Standing Orders

[Amenity]

Hi.

I want to charge clients with fixed payments on a regular basis. However I don't want to set up a business bank account and a merchant account with for e.g. SagePay just yet, as it all costs and takes more time.

With standing orders, do I just give the client my bank details and then expect them to set it up? And is there a limit to the amount of money someone can pay through a standing order?

Also will this work internationally? For e.g. if I wanted someone from a country outside of the UK/EU to pay me fixed amounts every 30 days for example, would this be possible?

I think I'll be going with my Lloyds account, however I have an account with HSBC. Not sure if one is better than the other for this?

Thank you.

 

[Amenity]

Oh and I would also like to take an initial, larger payment too... just to add to the confusion! Would I just sort out a bank transfer between us for this, and then immediately after have them set the standing order up?

I guess this would work but I do want this to be professional too. Perhaps I should get a business bank account so that the clients send payments/standing orders to my business' name instead of my personal account?

 

[Mike W]

With standing orders, do I just give the client my bank details and then expect them to set it up? And is there a limit to the amount of money someone can pay through a standing order?

Also will this work internationally? For e.g. if I wanted someone from a country outside of the UK/EU to pay me fixed amounts every 30 days for example, would this be possible?

Firstly, you'd be far better off with a separate business bank account. Even if you don't do it yourself, your bank may notice and take exception that you're running a business through it.

As far as standing orders are concerned, you can either give your client your details for them to set it up themselves (although you have no control over if/when) or you can supply them with a standing order form to complete and return to you. You then send that to their bank. PM me with your email address if you want me to email you an example.

That applies for UK businesses. I'm not entirely sure the same can be done for overseas - someone else may know. Whenever I deal with non-UK businesses, I just get them to organise a bank transfer.

Hope that helps.

Mike

ps. There is no limit on value.

 

[Mike W]

Oh and I would also like to take an initial, larger payment too... just to add to the confusion! Would I just sort out a bank transfer between us for this, and then immediately after have them set the standing order up?

You can set up a standing order that has an initial amount and then an ongoing one. Or you do as you've said and sort out a bank transfer for the initial payment and then the standing order for future payments.

The latter is probably more straightforward to deal with and can be covered off in your final discussions with your client.