The ADDACS report is produced whenever a change is made to the details of an existing Direct Debit Instruction, (ADDACS is an acronym made up from the Automated Direct Debit Amendments and Cancellations Service).
The report will provide information regarding the instruction and is made available to Service Users as soon as the Paying Bank have updated Bacs. The Service User then needs to act on these changes within 3 working days.
It is critically important that the correct action is taken in response to an ADDACS report as this will enable the Service User to continue to receive payments. Failure to update details can lead to incorrect collections, indemnity claims, lost revenue and poor customer service.
Direct Debit Instruction Amendments and Cancellation reason codes
1 – Amount and / or date of the Direct Debit differ from the Advance Notice issued to the payer by the service user
Reason:
Circumstances:
Special Instruction / Information: Service User cannot collect via Direct Debit on this account. If Direct Debit is to continue the Service User must obtain a new DDI for a new account.
Action Taken by: The DDI is marked as cancelled at source.
2 – No Advance Notice received by Payer/or the amount quoted is disputed.
Reason: Instruction cancelled by Payer
Circumstances: Payer has instructed Paying Bank to cancel DDI
Special Instruction / Information: Service User must liaise with the Payer to agree the payment method for collection of any outstanding debts
Action Taken by: The DDI is marked as cancelled at source
3 – DDI cancelled by the paying bank
Reason: Payer deceased
Action Taken by: The DDI is marked as cancelled at source
4 – Payer has cancelled DDI direct with the Service User
Reason: Instruction cancelled account transferred to another Bank / Building Society
Circumstances: Account transferred to another Bank / Building Society
Special Instruction / Information: New DDI to be obtained from Payer. Collection must be suspended until new DDI set-up and Advance Notice issued to Payer
Action Taken by: DDI is marked as cancelled at source
5 – AUDDIS Service Users only – No Instruction held. Payer disputes having given authority.
Reason: Account Closed
Circumstances: Payer has closed their account for an unknown reason
Special Instruction / Information: If the Direct Debit is to continue the Service User must obtain a new DDI for a different / new account
Action Taken by: The DDI is marked as cancelled at source
6 - AUDDIS Service Users only – Signature on DDI is fraudulent or not in accordance with account authorized signature(s).
Reason: Account transferred to another Bank/Building Society
Circumstances: New account details supplied to the Service User
Special Instruction / Information: Service User must apply change to data file and continue with Direct Debit collections. A 0C/0N pair must not be sent on receipt of this message
Action Taken by: The DDI is updated with the new details as provided in the advice
7 – Claim raised at Service User’s request after Direct Debit applied to payers account.
Reason: Advance Notice disputed
Circumstances: Payer disputes time, amount or frequency of Advance Notice
Special Instruction / Information: Service User should not collect further Direct Debits until it has resolved the dispute with the Payer
Action Taken by: The DDI is cancelled. It will be re-opened later if advice R - Instruction re-instated is received
8 – Service User name disputed. Payer does not recognize service user collecting Direct Debit.
Reason: Instruction amended
Circumstances: Paying Bank will advise amendment via ADDACS message
Special Instruction / Information: Service User should collect Direct Debits using new details, an 0C/0N pair must not be sent on receipt of this message
Action Taken by: The DDI is updated with the new details as provided in the advice