Kirklees Council is to look again at how social housing tenants pay their rent.
Tenants were restricted to paying rent by direct debit earlier this year.
All other means of payments, such as cash or cheque, were withdrawn.
Now councillors in the Cabinet are to look again at the issue.
A motion calling on a range of methods to be available to tenants to pay their rent was carried at a full meeting of Kirklees Council. Liberal Democrat and Conservative councillors voted with the Green Party and Valley Independents who submitted the proposal.
Clr Charles Greaves, Holme Valley North Independent, said: “Let’s treat people as individuals.
“I feel that existing tenants who have maintained a good payment record are being forced into a new process that many would not choose to join and that they regard themselves as being penalised by it and disregarded in the decision that led to its introduction.”
He told the Examiner he was aware of a draft policy to help those unable to get bank accounts with a direct debit facility and a contingency for those unwilling to pay by direct debit.
“If people are paying every month by other means I can’t see why this is a problem,” Clr Greaves added.
Members voted to call on the Cabinet and Kirklees Neighbourhood Housing to provide flexible payment arrangements and an opt-out for existing tenants who have demonstrated previous good form.
Clr Greaves said he hoped Kirklees Cabinet would abide by the will of the motion to re-look at their idea.
Clr Cathy Scott, Cabinet member for place, said the change to mandatory direct debit was helping tenants ahead of the move to Universal Credit benefit payments.
But the decision was condemned by other councillors.
Conservative Clr Christine Smith called on Clr Scott to go against her party’s line.
“What right do we have to tell someone to open a bank account they don’t want and set up a direct debit which can be changed without their permission?”
Clr Ken Sims, Holme Valley South Conservative, said like any business, KNH should know how to profile their customers’ payment ratings.
Clr Andrew Cooper, Newsome Green member, said: “No-one here wants to see the housing revenue account lose money. Let’s try and make this work.”
Clr Peter McBride, Cabinet member for place, responded to the council chamber: “This was fully debated at Cabinet.
“It’s not been done arbitrary, it was fully discussed and there are no significant objections from tenants.”
Other motions about housing issues were on the agenda but councillors ran out of time to debate them.
The Kirklees Liberal Democrat party called for council policy changes to ensure households affected by the bedroom tax and willing to downsize to be protected from rent rises.
The motion was not carried after a vote, with Labour voting against the move.