Direct debit at Multibanco is today a central tool in the day-to-day financial management of many Portuguese people, allowing recurring bills to be paid automatically and without apparent concerns. Water, electricity, gas, telecommunications, insurance or monthly fees are now charged directly to the account, reducing forgetfulness and delays. However, this convenience also brings responsibilities: knowing who is authorized to debit money, under what conditions and how to control these authorizations is essential to avoid unpleasant surprises and maintain full control over the bank account.
This system allows a creditor to automatically withdraw a certain amount from the bank account, provided there is prior authorization from the holder. This authorization is called Account Debit Authorization, known as ADC, and only works if there is a valid contract between the customer and the bank that allows this type of operation.
In most Portuguese banks, direct debits do not have associated fees, although this possibility exists depending on the institution and type of account, according to the specialized economics portal Ekonomista.
How to check direct debits at Multibanco
Checking which entities are authorized to debit your account is a simple process and can be done directly at an ATM.
Simply insert your bank card, enter your PIN, choose the “Inquiries” option and then select “Debit Authorizations” or “Direct Debits”. This menu displays the complete list of active authorizations, indicating the creditor, dates and, in many cases, the associated amounts. This consultation can also be made through home banking or in person at the bank counter, and it is recommended to check this information regularly.
Inactivating or canceling a direct debit is not the same thing
There is often confusion between inactivating and canceling a direct debit, but the difference is important. When you deactivate an authorization at the Multibanco or bank, you are simply preventing that entity from making new debits to the account. This operation is reversible and can be done quickly, according to the same source.
However, inactivation does not cancel the contract with the creditor. The payment obligation remains and, if not met by other means, may result in default. Cancellation must be done directly with the creditor and implies the definitive end of the authorization. This is the correct option when a service or contract ends and you no longer want any future charges.
What controls can be set on direct debits
The direct debit system offers several control mechanisms that many customers are unaware of, but which can make a difference in account management. It is possible to define a maximum amount per debit, preventing charges above this limit. This functionality is especially useful in services with variable invoices, allowing errors or abnormal charges to be quickly detected.
A deadline may also be established for the validity of an authorization, after which the entity will no longer be able to debit amounts. This time limit can be defined both in Multibanco and in home banking. Another available control is the definition of the frequency of the debit, such as monthly or annual, avoiding charges outside the agreed standard.
Furthermore, the account holder can create lists of authorized or blocked entities, or even choose to completely block all direct debits, if they wish to temporarily suspend this payment method, according to the previously mentioned source.
How to protect yourself from undue charges
Regular monitoring is the best way to avoid bank account surprises. Frequently checking active authorizations, setting value limits and adjusting billing dates after the salary is received are simple but effective measures.
It is also advisable to review bank statements carefully to quickly identify any strange or unexpected charges.
If a debt arises from an entity that you never authorized, the law protects the consumer. There are up to 13 months to complain to the bank and request a refund, with the banking institution being responsible for refunding unauthorized debts.
When the debit was authorized, but the amount charged was incorrect, the deadline for requesting a refund is eight weeks after the date of the debit. In these cases, in addition to requesting the bank, you must also contact the creditor to correct the situation in future charges, according to the same source.
Changing banks does not require you to cancel direct debits
Changing accounts or banks doesn’t mean you have to cancel all direct debits and start from scratch. In most cases, simply contact the creditor entities and indicate the new IBAN associated with the authorization. If the change is within the same bank, some institutions allow you to update this information directly at Multibanco or home banking, making the process simpler and faster, according to .
Managing direct debits well at Multibanco is, above all, a matter of monitoring and prevention. With a few minutes of regular checking, you can avoid errors, undue charges and unnecessary headaches.
Also read:
