Mono Logo
  • Why Mono
    • Why Choose Mono
      Here's why 250+ Businesses & Developers use Mono APIs
    • Pricing
      Affordable pricing for developers, SMEs, and enterprises
    • See a Demo
      Experience Mono APIs in action
  • Products
    • Connect
      Financial account linking
    • Statement Pages
      No-code bank statement collection
    • DirectPay
      Direct bank payment collection
    • DirectPay Pages
      No-code bank payment collection
    • Portal
      Linked account management
    • Percept
      Corporate finance management
  • Learn
    • About us
    • Blog
    • Tutorials
    • Coverage
  • Developers
    • Overview
    • Documentation
Create free account
Why Mono
  • Why Choose Mono
  • Pricing
  • See a Demo
Products
  • Connect
  • Statement Pages
  • DirectPay
  • DirectPay Pages
  • Portal
  • Percept
Learn
  • About us
  • Blog
  • Tutorials
  • Coverage
Developers
  • Overview
  • Documentation
Create free account
Mono Blog

Direct Debit, Safer and Better with Mono

28 Apr, 2025Open banking
  • Anita Onwuemene
    Product
  • On this page
    • How we made Mono Direct Debit safer for users
    • Why Mono Direct Debit is the preferred payment method
    Share article
    • Twitter
    • LinkedIn

    Direct Debit is quickly becoming the go-to method for businesses to collect recurring payments from customers, and it’s easy to see why. Unlike alternative payment methods like cards that can get missing or outdated, resulting in high failure rates, Direct Debit is simple, automated, and efficient.

    By automatically pulling payments from customers’ bank accounts at an agreed time, Direct Debit ensures businesses get paid on schedule without customers having to manually enter card details or initiate bank transfers.

    This is why businesses, from subscription services to lenders, are switching to Mono Direct Debit to streamline their payment collections. However, because it involves access to bank accounts, safety becomes the first question on everyone’s mind: “Is it secure?”

    The Direct Debit mandate setup flow

    How we made Mono Direct Debit safer for users

    We’ve built Mono Direct Debit with security and transparency at its core, without compromising the smooth experience that businesses and their customers expect.

    Here’s how we make Mono Direct Debit not just better, but safer:

    1. User consent comes first

      A prompt for BVN to verify identityNo direct debit on Mono can be initiated or completed without the customer's full approval. Every mandate is authorized by the customer and can be revoked at any time, keeping them in full control. To give consent, the user authenticates the direct debit mandate using their BVN, which is matched to their account number to confirm ownership and then the bank approves the mandate before any debit transaction occurs.

    2. Small deposit authorisation

      Smartphone screen showing a bank transfer of NGN 50 for authorisation.As an added layer of verification, every mandate setup requires the user to send ₦50 as an authorisation token from their account to a NIBSS-approved account. This verifies that you own and have access to the linked bank account, and that you are the rightful owner authorizing both Mono and the business to initiate debits.

      It’s a simple but effective way to confirm account ownership and ensure that only authorised users can set up mandates, adding one more layer of security to the Direct Debit process.

    3. Bank-level security

      Data security is a top priority at Mono. We use bank-grade encryption to protect customer data from the moment an account is connected to when a payment is processed.
      All information is encrypted both in transit and at rest, keeping sensitive details secure every step of the way, and because security standards are always evolving, we also run regular audits and compliance checks to ensure our systems meet the highest benchmarks.

    4. Transaction limits for extra safety

      To add an extra layer of protection, Mono enforces transaction limits on Direct Debits based on the customer's account type. These limits reduce the risk of unauthorized or accidental debits and give you confidence that large sums can’t be withdrawn unexpectedly.

      Businesses that need higher limits can request an increase through a simple verification process, but by default, these limits are in place to ensure safer usage for everyone. You can find about transaction limits here.


    5. Transparent authorization flow

      A mandate setup for ₦35,000.00, including details like frequency, validity, and start date.We’ve designed the Mono Direct Debit authorization flow to be clear from start to finish. Customers see exactly which merchant and processor they're authorizing, how much will be debited, how often, and for what reason. No hidden terms, no small print.

      It’s a simple, transparent experience that builds trust from the very first step. Curious to see how it works? Take a look at the e-mandate authorization flow on Mono Direct Debit.


    6. Protection against risk of fraud

      When a debit transaction happens, our systems usually work in the background to automatically spot and flag any suspicious activity — like unusual debit patterns or multiple failed attempts — and can trigger additional checks or block the transaction entirely.

      This helps reduce fraud risk for your business and gives your customers more confidence to pay recurring bills with Mono Direct Debit.


    7. Real-time notifications

      A direct debit authorization form from Neem, showing customer details, reference number, and payment information.Customers are never left in the dark. Mono sends instant real-time notifications whenever a direct debit transaction is scheduled or successfully processed, so you know exactly what’s happening with your account. This not only builds trust but also enables you to monitor every transaction as it happens.

    Why Mono Direct Debit is the preferred payment method

    For users:

    Direct debit payments is secure, easy to authorize, and just as easy to deactivate. They don’t need to manually enter card details each time they want to set up a recurring payment schedule, or worry about missing a payment on the agreed date. Once the mandate is active, payments run uninterrupted.

    For businesses:

    Mono Direct Debit reduces failed payments, improves cash flow, and gives customers a more secure and seamless recurring payment experience. Payments are also fast, compliant, cost-effective, and don’t come with the hidden charges or risks that card payments often bring.

    Here’s how secure Mono Direct Debit is, compared to cards:

    Card Payments Mono Direct Debit
    How is authorisation handled? Requires details like the user’s card number, CVV, and expiry date, which can easily be stolen. Requires a direct debit mandate approved by the customer and their bank.
    How likely is fraud? High. Stolen card details can be reused without identity checks. Low. Mandates can’t be created without customer consent and bank verification.
    What protection does the customer have? Chargebacks take time and aren’t always guaranteed, even when errors occur. Customers are covered by the Direct Debit Guarantee and can request an immediate refund if wrongly debited.
    How is sensitive data handled? Card details may be stored through third parties, increasing risk of compromise. Payments are processed securely through bank-to-bank infrastructure and are safer than cards.
    Who controls the setup? Anyone with access to the card details can initiate a payment. Only the account holder can authorise a mandate as their identity must be verified.


    For businesses seeking a better way to collect automated, recurring payments from customers, Mono Direct Debit offers both ease and security. From putting user consent first, to setting fraud protection tools in place, Mono Direct Debit ensures that the payment experience is safe for customers and helps businesses collect scheduled payments with less friction and better success rates.

    If you need a Direct Debit provider that’s efficient, reliable, and secure, you can sign up on Mono to get started and explore our integration guides at mono.co/docs.

    Like what you read?

    Become a subscriber and receive notifications about blog posts, company events and announcements, products and more.

    Next Read

    23 May, 2025Open banking

    Direct Debit: A guide for Insurance Companies

    Read the story
    Direct Debit: A guide for insurance companies
    7 May, 2025Open banking

    Direct Debit: A Guide for Investments and Savings

    Read the story
    Direct Debit: A Guide for Investments and Savings

    Start building with Mono

    Access high-quality financial data and start processing payments directly from bank accounts in minutes.

    Start now for freeTalk to Sales
    Products
    • Connect
    • Statement Pages
    • DirectPay
    • DirectPay Pages
    • Portal
    • Transactions
    • Income
    • Information
    • Realtime Data
    Resources
    • Developers
    • Documentation
    • API Reference
    • SDKs
    • Demo
    • Join Slack
    • Consumers
    Company
    • About us
    • Partner stories
    • Blog
    • Coverage
    • Careers
    • Contact
    Legal
    • End-User Policy
    • Privacy Policy
    • Developer Policy
    • Terms of Use
    • Cookies
    • Security
    © Mono Technologies Nigeria Limited
    TwitterLinkedIn