Payport SA Debit Card and Credit Card Solutions

Choosing the Right Debit Order Solution for Your Business

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As a business, there are many benefits to using a debit order service.


Before we answer the question of which debit order solution is the best one for your business, we first need to understand what a debit order is.


What is a Debit Order (or Direct Debit)


A debit order is initiated when a client completes a written or verbal (telephonic) debit order mandate, instructing a business to collect funds directly from their bank account.


South Africa has two types of Debit Orders:


  1. EFT (Electronic Funds Transfer)
  2. NAEDO (Non-Authorised Early Debit Order)


EFT as a Debit Order Solution:


  • EFT debit orders allow creditors to collect up to R500 000 per debit instruction.
  • EFTs are generally more cost effective than NAEDOs, but don’t come with the ability to track a client’s credit card or account. If funds were deposited into the account within the tracking period, these funds would be reserved for collection by the party initiating the debit.


NAEDO Debit Order Solutions:


  • NAEDO debit order runs are done in a random manner before EFT debit order runs, thus allowing creditors an equal chance to collect funds from their debtors.
  • NAEDO debit orders allow creditors to collect up to R5 000.


We hope that this brief overview of how EFT and NAEDO debit order solutions work will help you decide which debit order solution is best for your business.


If you need a bit more information or would like to chat to us about your debit order solution needs, chat to us.