How to Set Up a Quick Direct Debit for Bank Switching with Plum (In Just 2 Minutes!)

If you're thinking about switching banks to take advantage of those attractive cash bonuses, setting up a direct debit is often a requirement. But did you know that with the app Plum, you can set up a direct debit easily in just two minutes? Here’s a step-by-step guide to help you set up a quick and straightforward direct debit with Plum to qualify for bank-switching offers without any hassle.

Who Is Plum?

Plum is a popular personal finance app designed to help you manage your money smarter. With features that help you save, budget, and invest automatically, Plum is a fantastic tool for anyone looking to boost their savings and take control of their finances. One of the handy features Plum offers is the ability to set up a weekly deposit with just a few taps, which can also serve as a qualifying direct debit for your bank switch.

Step-by-Step Guide to Setting Up a Direct Debit with Plum

1. Sign Up for Plum
   First, download the Plum app from the App Store or Google Play, and sign up for an account. You’ll need to connect it to your bank account, which is quick and secure through their banking integration.

2. Set Up a Weekly Direct Debit

   • Once you're signed in, head to the Plum homepage.

   • Select the “Brain” feature (Plum’s name for its clever savings options).

   • Choose the Weekly Depositer option.

   With Weekly Depositer, you can set up a weekly payment to go into your Plum account. This amount can be as little as £1, making it an easy, low-cost option. This payment is automatic, acting like a direct debit from your main bank account into Plum, and will be enough to fulfill the direct debit requirement for many bank-switching incentives.

3. Enjoy the Flexibility of Your Direct Debit
   One of the great things about using Plum for this purpose is that you don’t need to spend the money deposited into your Plum account. Once the deposit goes through, you can even withdraw it back to your main bank account. This way, your £1 (or chosen amount) is safely returned to you, making this setup cost-effective.

4. Wait for Confirmation
   After you set up the Weekly Depositer, you should receive an email from Plum a few days later confirming that a direct debit has been set up. This email serves as confirmation that your direct debit is now active.

Timing Your Bank Switch

Should I start my bank switch if my direct debit isn’t set up yet?

The answer is yes, in most cases! When you initiate a bank switch, it typically takes over 10 days to complete, giving you enough time for your Plum direct debit to activate in the meantime. Additionally, a payment doesn’t need to be withdrawn for the direct debit to count as active – it just needs to show up as a “mandate” in the direct debit section of your online banking.

Check the Status of Your Direct Debit

To double-check that everything is in place, you can log in to your online banking and view the direct debits section. Here, you should see a mandate listed for Plum, which confirms that the direct debit has been established and will meet the requirements for your bank switch.

Why This Method Is So Simple

Setting up a direct debit through Plum is not only convenient but also flexible, allowing you to meet the requirements for bank-switching offers without spending or risking any significant amount. By choosing the Weekly Depositer option, you set up a recurring transaction in just a couple of minutes – a transaction you can control completely. Plus, Plum’s automated tools make it a great app to keep around, whether for easy savings, budgeting, or just for future direct debit needs.