Indirect Service User
Use a third-party bureau, such as Financial Director Online, to send and collect Bacs files.
Bacs payments
Send high-volume payments and collect Direct Debits automatically with the Bankers’ automated clearing system (Bacs).
What is Bacs?
Bacs is an automated electronic system used to collect Direct Debits and send funds from one bank account to another over a three working-day clearing cycle. The service is operated and managed by Bacs Payment Scheme Limited.
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Please note: you will be charged for using Bacs. Please check your account tariff for more information.
Why use Bacs?
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Save time and administration costs on bulk payments
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Improve cashflow management
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Collect Direct Debits efficiently and securely
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Use Bacs in the way that works for you
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Bacs payment types
There are two types of Bacs payments. You can use one or both depending on your business requirements.
Bacs Direct Credits
You can use Bacs Direct Credits to make payments directly into another bank or building society account. It’s typically used for making high-volume regular or one-off payments such as salaries, pensions, state benefits and tax credits.
Bacs Direct Debits
You can use Bacs Direct Debits to collect regular payments from customer accounts such as subscriptions, memberships or charitable donations.
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Bacs Service Users
We can set up and register you as one of two types of Bacs Service User depending on your preference.
Direct Service User
Use purchased Bacs software on your own computer to send and collect Bacs files.
Apply for Bacs
Your application is subject to status. This means we’ll complete a credit check and an assessment of your financial circumstances.
Check if you’re eligible
To be eligible for Bacs, you and key parties must:
- be aged 18 or over
- be a UK resident
- be a sole trader, partner or director with authority to borrow on behalf of the business or organisation
- hold or open and maintain a business current account with The Co-operative Bank
- require the lending for business use.
Find out what you need to apply
To apply as an Indirect Service User, you will need to be registered with an approved bureau.
You can apply for Financial Director (FD) Online, our in-house bureau and commercial online banking platform.
Alternatively, you can find a list of approved bureaux on the Bacs website.
Read and save important documents
Apply to be an Indirect Service User
To apply for Bacs as an Indirect Service User, please complete our Bacstel-IP Bureau User Application Form PDF and forward it to your Relationship Manager.
If you do not have a Relationship Manager, please email the completed form to blss@co-operativebank.co.uk.
If you are applying to collect Direct Debits
If you are applying to collect Direct Debits through Bacs, you will need to complete the following additional documents:
- Direct Debit mandate
- Standard indemnity form
- Advance notice letter
- Automated Direct Debit Instruction Service (AUDDIS) application form.
We will share an AUDDIS application form and standard indemnity form with you when we receive your Bacs application. You will need to draft the Direct Debit mandate and advance notice letter. You can find the requirements for these in this guide to Direct Debits on the Bacs website.
What happens next?
We will contact you to confirm the result of your application.
If your application is successful, we will email a user number to you. You should forward this to your bureau provider as confirmation that your Bacs facility has been set up at Bacs Ltd.
We will also share a Bacs service user guide with you.
Check if you’re eligible
To be eligible for Bacs, you and key parties must:
- be aged 18 or over
- be a UK resident
- be a sole trader, partner or director with authority to borrow on behalf of the business or organisation
- hold or open and maintain a business current account with The Co-operative Bank
- require the lending for business use.
Find out what you need to apply
To apply as a Direct Service User, you will need to find a Bacs software supplier first.
You can find a list of approved software suppliers on the Bacs website.
Apply to be a Direct Service User
To apply for Bacs as a Direct Service User, please complete our Bacstel-IP application form PDF and bsecure application form PDF. In the bsecure application form, you will need to nominate two primary security contacts to maintain and manage the system for all other users.
When you have completed both forms, forward them to your Relationship Manager.
If you do not have a Relationship Manager, please email the completed forms to bsecure@co-operativebank.co.uk.
If you are applying to collect Direct Debits
If you are applying to collect Direct Debits through Bacs, you will need to complete the following additional documents:
- Direct Debit mandate
- Standard indemnity form
- Advance notice letter
- Automated Direct Debit Instruction Service (AUDDIS) application form.
We will share an AUDDIS application form and standard indemnity form with you when we receive your Bacs application. You will need to draft the Direct Debit mandate and advance notice letter. You can find the requirements for these in this guide to Direct Debits on the Bacs website.
What happens next?
We will contact you for additional security information about your primary security contacts and to confirm the result of your application.
If your application is successful, we will email a user number to you. We will also share a Bacs user manual with you.
What is changing?
From 31 January 2026, the Payment Services Website (PSW) will no longer be compatible with Internet Explorer, including Internet Explorer compatibility mode in Edge.
If you use the PSW, you need to use compatible software, hardware and web browsers to continue accessing and using the PSW.
What is a PIN Pad reader?
The Gemalto PKI PIN Pad is a dedicated smart card reader designed and maintained by Thales Digital Identity and Security. The reader will comply with the following specifications and standards:
- ISO 7816 Parts 2 and 3 smart cards
- PSCS 2.0 Part10: Secure PIN Entry
The Gemalto PKI PIN Pad reader is designed to enforce secure PIN Entry to ensure increased security level for BACS transactions.
I’m a PKI (card) user, what do I need to do?
- Install the latest version of Edge or chrome, and use Websigner, a more secure PKI method.
- Ask your IT team to install the latest Gemalto software and Websigner extension to your device. You can download this from the Middleware File
Important: If your current PIN is not numerical, you will need to change this before you start using the new software.
All active PKI Users have been sent PIN Pad readers to a central business address, including instructions of how to change a PIN.
How do I connect my PIN Pad reader to my computer?
Via a USB connection; Gemalto PKI PIN Pad readers do not have a battery. The power is supplied to the reader via the USB interface. It requires the USB cable of the device to be connected to a laptop/desktop that has its own power supply or battery.
Does the PIN Pad reader have a timeout feature?
The Gemalto PKI PIN Pad has built in timeout for security reasons.
The timeout defined in the firmware of the reader is set to 60 seconds. When a timeout happens, it simply cancels the current operation, which must be resumed from the start if needed.
I do not have a PKI card but use Alternative Security Method (ASM), what do I need to do?
ASM users will need to use the latest version of Edge or Chrome and stop using Internet Explorer compatibility mode to continue accessing the PSW. (All versions of Internet Explorer, including Internet Explorer compatibility mode in Edge, will no longer work after 31 January 2026)
What if I need further help?
Contact our Bsecure team – bsecure@co-operativebank.co.uk
New smart card reader
This is your new smart card reader to use with WebSigner on Payment Services Website.
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Call us
If you need more information or help with Bacs, call us on 03457 213 213. Lines are open Monday to Friday 8am to 6pm, Saturday 9am to 12 noon. Call charges apply.
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Financial Director (FD) Online user guide
Access step by step guides to using Bacs in FD Online in our user guide.