2 min read
Definition
A standing order is your instruction to the bank to pay a set amount to a named recipient at regular intervals. Unlike a Direct Debit, the amount and timing are fixed by you, not the payee.
In plain terms
Use it for known, unchanging payments like rent or a loan instalment. Because the amount never changes without you, it is predictable for forecasting.
Why it matters for your company
Standing orders make fixed outflows easy to model in your forecast. For variable bills, a Direct Debit via BACS is usually better. See sort code.
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