Whats a direct debit agreement (PayPal to be specific)?

Question

Whats a direct debit agreement (PayPal to be specific)?

Answer 1

i just set mine up today and from what i can make out you can transfer money from your bank account direct to the sellers account.you also have the option to top up your pay pal account so you have instant access to money to pay for things.i think thats how it works.i'll soon see if my bid wins.  

Answer 2

A direct debit is a formal customer's consent to an institution authorising the institution to debit the customers' bank account or credit card.

Unless the amount is pre-agreed the authorised institution will have the freedom to debit the account with any amount (eg utility bills vary every month, so the billing company will debit your account with the amount asked by the authorised institution) and at any time.

Usually where a date is fixed and amount to debit is specified is referred to in banking terms as Standing Instruction or Standing Order. For this type of service you will be authorising your bank to debit your account with X amount of money on a specific date/frequency of your choice.

Answer 3

You agree to let them take out X amount from your bank every so often.

Answer 4

you give them permission to take a stated amount out of your bank account each month.