Key information about Variable Recurring Payments (VRPs)

1. What is a Variable Recurring Payment (VRP)?

A Variable Recurring Payment (VRP) allows you to provide permission for payments to be made directly from your bank account without needing to authorise each individual payment.

By creating a VRP Mandate, you provide a standing permission that enables payments to be initiated in accordance with the terms, limits, and conditions that you agree to. Payment amounts and payment dates may vary, subject to the parameters defined within your Mandate.

Unlike a one-off payment, a VRP Mandate remains active until it expires, is revoked by you, or is otherwise terminated in accordance with the agreed terms.

2. Setting Up a VRP Mandate

To create a VRP Mandate, you will be required to:

• Select the bank account from which payments will be made.
• Review the Mandate details, including any applicable payment limits, conditions, and duration.
• Authenticate with your bank and provide your consent to the Mandate.

Your VRP Mandate will become active once your bank has successfully authenticated your request and confirmed your consent.

By creating a VRP Mandate, you are providing an ongoing permission for payments to be initiated from your bank account in accordance with the agreed terms. You should carefully review the Mandate details, including any applicable limits, conditions, and duration, before providing your consent.

3. Using a VRP Mandate

While your VRP Mandate remains active, payments may be initiated from your selected bank account in accordance with the permissions, limits, and conditions you have agreed to.

Provided a payment falls within the agreed terms of the Mandate, you will not normally be required to re-authenticate or provide additional consent for each individual payment.

 4. Managing Your VRP Mandate

You remain in control of your VRP Mandate at all times and may:

• View the details of your active Mandate.
• Review the applicable limits, conditions, and duration of the Mandate.
• Revoke or cancel the Mandate at any time, subject to any payments that have already been initiated.
• Contact the merchant or your bank if you require assistance in managing your Mandate.

 Auto-Cancellation of Dormant VRP Consents

If no payments have been collected under your VRP mandate for 13 consecutive months, your mandate will be automatically cancelled.

Before this happens, you will receive a notification at least 48 hours before auto-cancellation takes effect from the merchant / recipient. This notification will give you the option to respond and confirm you wish to keep your mandate active, in which case it will not be cancelled.

5. Cancelling a VRP Mandate

You may revoke or cancel your VRP Mandate at any time. In most cases, this can be done quickly and directly through:

• Your bank, or
• The merchant through whom the Mandate was established.

If you're unable to cancel your Mandate through your bank or the merchant, you may also contact Token.io, the Payment Initiation Service Provider (PISP) through whom the Mandate was established, via support@token.io.

For email to Token can you include the following information:

Subject: VRP Consent Revocation Request – [Mandate Reference]

Key Information to Include

• Confirmation of intent: A clear statement that you would like for the consent/mandate to be revoked.
• PSU identification: Full name, sort code, and last 4 digits of the account number.
• Mandate/consent reference: The ID from your setup confirmation or receipt.
• Merchant/Recipient name: The name of the business the VRP was set up with.
• Bank/account provider details: The name of your bank.
• Reason for revocation (optional): E.g., switched providers or no longer using the service.
• Contact details: Email or phone number for confirmation.

If you revoke or cancel your VRP Mandate, no further payments will be initiated under that Mandate from the date the cancellation takes effect.

The cancellation of a Mandate will not affect any payments that were successfully initiated before the cancellation was processed.

Please note that cancellation processing times may vary between providers. You should ensure that your cancellation request has been successfully processed before relying on the Mandate being inactive.

6. Your Rights (Disputes)

If you experience an issue with a VRP payment or goods and services received in relation to a payment, who you should contact depends on the nature of the issue — either the merchant/recipient or your bank/account provider (ASPSP). This section explains both routes, along with the time limits that apply.

Raising Issues with the Merchant / Recipient

In the first instance, you should try to resolve any issues directly with the merchant or recipient of funds in the following circumstances:

• Issues with goods or services: If your issue relates to the goods or services you purchased from the merchant/recipient/biller (e.g. non-delivery, faulty goods, service not as described), you should contact the merchant/recipient directly to resolve this.

This is separate from issues relating to the payment itself (e.g. unauthorised transactions, incorrect amounts, or errors in payment processing), which should be raised with your Account Servicing Payment Service Provider (ASPSP), as set out below.

Raising Issues with Your Account Provider (ASPSP)

You have the right to raise an issue directly with your Account Servicing Payment Service Provider (ASPSP) — i.e. the bank or account provider that holds your account and processes payments under your VRP mandate — in any of the following circumstances:

• Unexpected amount: A payment was taken that was higher, lower, or otherwise different from what you expected under your mandate.
• Suspected fraud: You believe a payment was fraudulent or was not authorised by you.
• Outside agreed parameters: A payment was taken that falls outside the limits or conditions you agreed to when setting up your mandate (e.g. amount, frequency, or timing).
• Payment process error: An error occurred during the processing of the payment (e.g. duplicate payment, incorrect execution, or a technical failure).

The circumstances above may give rise to a dispute — see the applicable time limits below.

If you're unable to raise your dispute through your bank, you may also contact Token.io, the Payment Initiation Service Provider (PISP) through whom the Mandate was established, via support@token.io. Please include all information about the payment that is being disputed.

The email should contain the following: 

Subject: VRP Payment Dispute Request – [Mandate Reference]

Key Information to Include

• Confirmation of intent: A clear statement that you would like to dispute a particular payment
• PSU identification: Full name, sort code, and last 4 digits of the account number.
• Mandate/consent reference: The ID from your setup confirmation or receipt.
• Merchant/Recipient name: The name of the business the VRP was set up with.
• Bank/account provider details: The name of your bank.
• Reason for dispute: Explanation of why you would like to raise a dispute.
• Evidence: Include any evidence to support your claim
• Contact details: Email or phone number for confirmation.

Dispute Time Limits

If you believe a payment made under your VRP mandate was unauthorised or incorrect, you must notify your bank or account provider as soon as possible. Time limits apply to your right to raise a dispute or claim, as set out below:

• Unauthorised or incorrect transactions: You must notify your bank or account provider within 13 months of the date the transaction was made. Claims raised after this period may not be eligible for investigation or refund. Your bank or account provider may ask us to assist with any investigation, but the claim itself must be made to them directly.
• Claims against the merchant/recipient: Separately from the above, you may have a cause of action against the merchant/recipient (e.g. relating to goods or services, as described above) for up to 6 years from the relevant event, in line with standard limitation periods.

We recommend reviewing this information before setting up your VRP mandate, as it affects your rights and your ability to seek redress.