BACS is the UK’s bulk payment system.
It is used for credit transfers and Direct Debits.
BACS Use cases
Regular, scheduled payments are sent via BACS:
- Business to Business and Business to Customer
- Bacs Direct Credits
- Direct Debits
- Supplier payments
- Utility bills
Bacs is the bulk system for high volume, regular retail payments.
Bacs Payment Schemes Ltd (Bacs) sets the rules for the system.
It is open for submission 24 hours a day with a cut-off time of 22:30
two business days before settlement date.
If payments are submitted on day zero then the BACs scheme calculates the amount each bank has to pay each other on day D+1. banks then settle with each other at the same time on D+2.