Annual Subs..DD charge

sJoe

sJoe

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Hi All
I know somewhere here there is a thread about subs and the charges for paying monthly..but I cant find it..Never mind..my club has just sent out the invoices. If you want to pay monthly over 12 months there's an admin. charge of £72 on top,,seems very steep to me..Comments appreciated..
 
Our club have this year passed on the Bank Charges for DD to those members who pay that way. It's 50p/month.

Don't have a problem with that.
 
DCB said:
Our club have this year passed on the Bank Charges for DD to those members who pay that way. It's 50p/month.

Don't have a problem with that.
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That sounds great..ours works out at 8% of the fees..so if yours is the same,are you fees only £62.50 per year..Or you have a very understanding committee..I think the later..
 
so much will depend on the ownership of the club, and the nature of the DD facility.

many private members clubs will operate on a 'cost' basis, and simply take the money monthly - which works for them as not all their costs accrue on day one either. if you cancel the dd and leave there may be dire threats, or a quite wave goodbye (and don't come back).

on the other hand a commercial business won't want any hassle with monthly fees etc. Any DD structure will probably be on the basis of a 3rd party finance house who pay them (the 'club') the whole amount up front and pursue you for the 'loan' over the due period. You will pay for the convinence at a commercial rate including the actual processing costs etc.

Of course either of the above can just add a bit to the subs and then offer 'interest free monthly' as well - how will you know!
 
sJoe said:
That sounds great..ours works out at 8% of the fees..so if yours is the same,are you fees only £62.50 per year..Or you have a very understanding committee..I think the later..
Click to expand...

No, we just passed on the bank charges of 50p/month in addition to what members were paying already. Club had to absorb bank charges previously, so in passing on the bank charges to DD payment members the club wasn't being hit as hard. It is a direct payment to the club, no 3rd party finance house to take their whack out of the members as middle man fortunately.
 
duncan mackie said:
so much will depend on the ownership of the club, and the nature of the DD facility.

many private members clubs will operate on a 'cost' basis, and simply take the money monthly - which works for them as not all their costs accrue on day one either. if you cancel the dd and leave there may be dire threats, or a quite wave goodbye (and don't come back).

on the other hand a commercial business won't want any hassle with monthly fees etc. Any DD structure will probably be on the basis of a 3rd party finance house who pay them (the 'club') the whole amount up front and pursue you for the 'loan' over the due period. You will pay for the convinence at a commercial rate including the actual processing costs etc.

Of course either of the above can just add a bit to the subs and then offer 'interest free monthly' as well - how will you know!
Click to expand...

For a 3rd party to collect and charge a fee would require a credit agreement.

A lot of clubs will use software, Bottomline Technologies being the market leader by a huge margin, to manage the DD process. In fact most of the high street banks 'white label' the Bottomline offering.

If a club is charging a premium then they will be recouping their costs for offering the service, hopefully!
 
Roughly costs me an extra £30 for the year to pay by Direct Debit at my Club. It's dealt with by a 3rd Party Company who in force the charge. Can't remember the name though.
 
Just got my first invoice and they charge 6% if I want to pay over 10 months. I think it's fair enough as it's via a 3rd party finance scheme but I'd rather pay it in one go than add 6% to my subs.
 
At my place you can pay by 10 monthly payments (Apr-Jan) by Standing Order to clubs bank account. Doesn't cost anything extra at all, only thing is you need to do this in advance for the next years fees. I paid my fees in full when I joined and started the standing orders straight away, now if things ever got tight money wise, I know my next years fees are paid already. Another nice touch is that the club draw out a name at the AGM from all the members paying in advance and this person gets their subs for free for that year :thup:
 
I did plan to pay by DD this year as I wasn't sure if HID was going to be working full time, temping or what. Fairway Credit run our scheme and there is a fair old charge to pay that way. I decided to bite the bullet and whack it on the plastic
 
HomerJSimpson said:
I did plan to pay by DD this year as I wasn't sure if HID was going to be working full time, temping or what. Fairway Credit run our scheme and there is a fair old charge to pay that way. I decided to bite the bullet and whack it on the plastic
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I wouldn't call it a 'fair old charge' to be fair Homer.

Their typical rate is between 6 to 6.5% which is pretty fair IMO.

Also saves a club a massive pile of admin work and buggering around with banks etc.Premium Credit do a fantastic job,in 4 years of dealing directly with them they have been very good for the clubs.
 
Ours works out at an additional £74 if you pay monthly - it is a Fairway Credit Facility - that's approximately 10% as I paid mine in one hit and it was £743 plus £50 bar tarriff which will be used within a month.

I have used the direct debit facility in the past and had no issues at all either with the club or the credit company, it was one of the easiest credit agreements I have had. As long as you are made aware of the charges I don't see any issues - at the end of the day it is a facility provided to ease the burden for you - not the club.
 
Paid in full this year but there was a £20 admin charge at ours
They also run the dd over 8 months to avoid the cancellations when winter comes a sensible approach I think as no cash flow issues for club
 
No extra charge at mine, you can pay it in a one-er or DD over 6 months with a £80 deposit...or
pay £100 up front then pay the rest in chunks, whatever you can afford, as long as its all paid by
October.
I paid £100 end of March, £80 when i got paid in April and will pay another £80 May and
June...thats it done :)
 
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