[vanviegen]

You're talking about bank transfers by paper order, right? That's different, because you don't give the order paper to the recipient of the money (who should then cash/deposit it at their own bank), but to your own bank, which will wire the money to the receiving account.

Is that still widely used? I think manual transfer orders have largely been replaced by direct debit (companies taking the money you owe them straight from your bank account).

[emteycz]

Here in Central Europe we use "postal money orders". It works almost exactly like a check, the only difference is that the money is transferred to a state post organization first, then the paper slip is given to the recipient, and the recipient can either cash it out or have the money transferred to their bank account.

It's widely used by older people to receive pension and pay rent/utilities (these people often don't have access to internet banking, or don't know how to use it, or don't trust it), and by all other age groups to receive social security money (these people are often unable to have a bank account or would have their money taken from the account due to "executions" - payment orders forced on them by courts).

[kleiba]

> Is that still widely used? I think manual transfer orders have largely been replaced by direct debit (companies taking the money you owe them straight from your bank account).

It depends on how much you trust that company with taking the right amount of money out of your account. Both fraud and honest mistakes on their side are your risks, even though they might be very low risks in practice.

[emteycz]

Over-charging is actually very common, and then it's up to you to notice, then fill many forms (last time I had this problem I had to fill over 10 forms) and then personally visit their branch, and then wait months to get your money back. It's much better to pay by permanent payment order (automatic payment e.g. every month).

[vanviegen]

Where is that?

SEPA (European) direct debit payments can be reversed with about two clicks in your online banking environment. No questions asked. I believe you have three months to do that, or even longer if the company doesn't have your handsigned signature approving direct debit.

Of course, the company on the other side may not be happy, and may be sending you bills and threats. But that's no different when refusing to pay without direct debit. And yes, it's up to you to notice any errors. I haven't heard of any cases of outright fraud using this system, though it probably happens.

[emteycz]

Here in Czechia it's SIPO and it's not that easily reversible, but you're right it's possible - but that's the process I'm talking about.