Whenever you issue an invoice, you need to make sure that it contains key details about you, your customer, and the products sold. But do you need to put bank details on your invoices?
This blog post explains whether it’s necessary for your invoices to include information about your bank account and why you might choose to put your bank details on the invoices you send to clients.
What needs to be on an invoice?
For an invoice to be considered a legitimate, legal document, it needs to contain some important pieces of information such as:
- Your registered business name (and a trading name if you use one)
- Your registered address
- A unique, sequential invoice number
- A date of issue
- A due date
- Descriptions, prices, and quantities of the goods or services provided
- The total amount due.
If you run an incorporated business, your invoices also need to contain your Company Registration Number. And if you’re registered for VAT, you will need to provide your VAT number, the tax rate(s) applied to each product, and the total amount of VAT due.
Unlike prices, due dates, etc., bank details aren’t compulsory elements of an invoice. But while there are strict guidelines about the minimum amount of information that needs to be on your invoices, there are no regulations limiting which extra details you can add.
This means that while you’re not required to include your bank details, there’s nothing stopping you from doing so.
Why would I put my bank details on my invoices?
It’s up to you to decide whether or not you want to put your bank details on your invoices, and it’s usually more appropriate to do this if payments are made directly to your bank account.
If you expect to be paid with a standing order or one-time bank transfer, you should clearly state this on your invoices, and it’s highly recommended that you do provide your bank details. Providing your bank details not only makes it easier for your customers to set up payments, it also limits the need for bank-and-forth messages confirming your information.
If you don’t accept payments via bank transfer, you can still put your bank details on your invoices, but it isn’t really necessary to do so. Sending invoices with unnecessary details can look a bit cluttered, and it might lead to confused customers who aren’t sure how they should pay.
Which bank details should be on my invoices?
If you do decide to put your bank details on your invoices, it’s important that you include enough information for your customers to set up their payments.
At a minimum, you should include your sort code and account number, but it’s usually a good idea to include the account holder’s name as well.
How to add your bank details to your invoices with Debitoor invoicing software
It’s easy to add your bank details to your invoices with Debitoor invoicing software. Simply go to the 'Company' section of your account settings and add your details in the fields under ‘Bank & Payment’. Your sort code, account number, IBAN, etc. will save automatically, and any information you enter will appear on all of your future invoices.
To remove your bank details from your invoices, all you need to do is remove these details from your account settings. If a field is empty, it won’t show on any new invoices.