Debit orders can come early in December... are you prepared?

Lester Kiewit speaks to consumer journalist Wendy Knowler.

Listen below.

Many companies pay their staff a little earlier in December so they can have a little extra money in advance for the festive season holidays. Banks and their clients know this and move their debit order dates forward to ensure that your financial commitments are fulfilled before spending it all.

But what if the debit order comes off before your salary arrives?

"You have a contract. It works both ways and you get to choose when you want that debit order to go off... and most choose it to go off when we get paid," says Knowler.

However, Knowler adds that some banks and other credit providers might have terms and conditions in their contract to reserve the right to deduct debit orders earlier in December.

However, earlier debit order notifications might not be ideal for some as they might not have the funds when debit order collections come earlier rather than on the expected date.

Not paying debit orders on time can result in arrears and possible blacklisting.

To avoid earlier debit order payments, don't ignore messages from your bank or credit providers - this will allow you to keep track of notices about early debit order payments, advises Knowler.

You have the right to tell your bank or credit provider that you prefer debit orders to go off on the agreed-upon date. Failure to communicate this can result in premature debit order deductions.

Scroll up to the audio player to listen to the interview.