Direct debit cancellations 'on the rise'
Charities
16th March 2009
A growing number of regular donors to UK charities are cancelling their direct debits, it has been revealed.
According to the payment processing company Rapidata's Charity Direct Debit Tracking Report 2009, the number of direct debit cancellations was 1.3 per cent higher in 2008-09 than in the previous financial year.
In 2007-08, direct debit payments accounted for around £2.5 billion of charities' income.
Scott Gray, the managing director of Rapidata, said that identifying patterns of cancellations in an average year could help charities to stop them happening in the first place.
He told Third Sector magazine: "Charities could look at how their communications tie in with these peaks.
"They could send out communications in September to stop cancellations in October."
Rapidata began in 1997 with the aim of processing and collecting direct debit payments on behalf of third parties.
The company is approved by the Bankers' Automated Clearing Service.
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