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.
Example transaction codes used are: “Account Closed (Reason code B), “Instruction cancelled by payer” (Reason code 1) or “Account transferred to a new Bank or Building society” (Reason code 3). The full list of reasons is detailed below:-
- Instruction cancelled Refer to payer
- Instruction cancelled by payer
- Payer deceased
- Account transferred to a new bank or building society
- Account closed
- Account transferred to a different branch of bank/building society
- Advance notice disputed
- Instruction amended
- Instruction re-instated
The rationale behind each of these reason codes and the appropriate actions to take in response to them are all detailed on our Clear Direct Debit training courses, more details of which can be accessed on our training pages. If you still have questions, please contact us for more information.