ADDACS stands for Automated Direct Debit Amendment and Cancellation Service and is used by payment service providers to notify service users if amendments are made to a customer’s Direct Debit Instruction (DDI).
How does ADDACS work?
Using ADDACS advices, any changes are sent to the service user electronically, via the Bacs service. ADDACS advices are made available from the Reports section on the Bacs Services website and essentially, they speed up the process whilst also making it more accurate. ADDACS reports can be received one of two ways, either via manual or automatic updates.
ADDACS in 3 Steps
- Customers inform their bank of any amendments or cancellations to their DDIs. Changes are generated to sort codes and/or account numbers due to a bank branch change, by paying banks.
- All of the amendments and cancellations are consolidated by the paying bank, who then electronically transfer the details to the customer.
- The amends and cancellations are then verified by ADDACS and then it notifies the end user of the details.
What are the benefits of ADDACS?
As a streamlined service, there are numerous benefits of ADDACS. Specifically, the elimination of various overheads often associated with making changes and cancellations to current DDIs are removed, thanks to ADDACS.
Going from customers to banks, to the Bacs payment system, to the service provider – amending and cancelling direct debits has never been easier.
Quick processing speed
Taking two days or even less, with ADDACS the process is simpler and faster with no further costs. By extension, cash flow is also streamlined due to faster receipt.
Ensuring no messages are lost is an advantageous feature of the system. Decreasing time wastage and cost in chasing up the receipt of information is overall a significant time saving benefit as there is only one total to be reconciled.
Fully AUDDIS compatible
The all-encompassing nature of the system is a further feature – allowing the retrieval of AUDDIS return transactions on the same location.
Protection of private information is ensured through built-in security, which performs encryption through PKI technology (public key infrastructure). The password needs to be changed frequently, providing top of the range security.