Začínáme s investováním
What Is a Standing Order and Why It's Gold for an Investor
Key takeaways
- A standing order automatically sends a fixed amount from your account to your broker account every month.
- Thanks to a standing order you invest regularly without thinking and without relying on willpower.
- Setting up a standing order takes less than three minutes in mobile banking.
- A standing order can be cancelled or paused at any time — it doesn't lock you in for any period.
A standing order is an instruction to your bank to automatically send a fixed amount to a specified account every month — in this case, your broker account.
Why a standing order is so powerful for an investor
The biggest enemy of an investor is not the markets — it's their own procrastination. Every month you tell yourself "I'll send it next time" or "I'll wait until the market drops." A standing order removes this excuse. The money goes out automatically, you don't even think about it — and you invest with discipline and no effort. That is the essence of autopilot investing, which we write about in how to set up regular investing.
How to set up a standing order
- Log in to your mobile banking or internet banking.
- Find the "Payments" or "Transfers" section and select "Standing Order" or "Recurring Payment."
- Enter your broker's account number (IBAN), variable symbol (broker's reference code) and amount.
- Set the day of the month — we recommend 1–5 days after your salary arrives.
- Save and activate. The bank will execute the order automatically every month.
What happens to the money after it arrives at the broker
The money lands as cash in your broker account. If the broker offers automatic purchases (savings plan), it buys the ETF by itself. If not, you log in once a month and buy manually — see how to buy an ETF for the first time. How a standing order complements converting CZK to euros is described in how to send money to your broker without losing on conversion.
Standing order vs. direct debit
A standing order is active — you tell the bank how much and when to send. A direct debit is passive — the recipient requests the money themselves. For investing use a standing order: you have control over how much leaves and when.
FAQ
What happens if there's no money in the account on the day of the transfer?
The bank rejects the order and the money is not sent. The standing order will automatically retry according to the bank's settings or wait until next month. It depends on your specific bank — check the terms in the mobile app.
Can I have multiple standing orders to different brokers?
Yes, there is no limit. Each standing order is a separate instruction. If you have accounts with two brokers, you can simply set up two orders for different days and different amounts.
Do I have to renew the standing order every year?
No, a standing order is valid until cancelled, unless you specify an end date. It will send money every month until you cancel or freeze it yourself. That's what makes it so convenient — set it up once and it runs for years.