SEPA Direct Debit Mandate and Fees
The most important information concerning SEPA debit mandates, deadlines and fees.
The Single Euro Payments Area (SEPA) conversion replaced national direct debits with direct debits in SEPA format. It has allowed for the introduction of cross-border direct debits in the euro zone. The payment method is divided in two schemes, Core SDD and B2B SDD. The basic direct debit, or Core SDD, is used between companies and their customers. Banks offering SEPA payments are obligated to participate in Core SDD. The B2B SDD scheme, or company direct debit, is intended for payment transactions amongst businesses.
Differences between SEPA and other direct debit methods
On some points, the SEPA direct debit differs from the previous direct debit methods. The SEPA direct debit gives consumers a better protection. For example, banks need to enable their customers to reduce the redemption of direct debits to specific payees. In addition, consumers can set maximum amounts for direct debit orders. If the account is to be completely protected against unlawful access, it is also possible to block it completely for direct debits.
