The European Payment Council launched the SEPA direct debit schemes in November 2009, defining common rules and procedure for a core scheme (scheme for consumers and enterprises) and for business-to-business (B2B only) direct debit schemes. The latter is largely based on the core scheme, but includes specific fea-tures for payment solely between corporate entities.
Since November 2009 an unitary European direct debiting procedure exists. It can be used for EURO-payments inland as well as in all SEPA-countries Europe-wide.
- The direct debit applies to both consumers and companies (not final).
- The direct debit substitutes today’s common Austrian procedures (direct debit authority procedures/direct debit procedures)
Important for SEPA Direct Debit
- Use of IBAN (International Banking Account Number) and BIC (Bank Identifier Code)
- Creditors have to sign an agreement with their bank to process SEPA direct debits
- Use of CID (Creditor Identification)
- Use of mandate references (New mandates are required for the SEPA DD B2B scheme!)
- When using the SEPA DD schemes, a due date has to be stated.
- To ensure settlement at due date, creditors have to respect the following deadlines (arrival at debtor bank):
- SEPA DD Core scheme
- One-off or first DD: 5 days before due date
- Recurrent DD: 2 days before DD
- Option: 1 day before due date
- SEPA DD B2B
- One-off, first, recurrent DD: 1 day before due date
- An objection period of 8 weeks persists for direct debits if a valid mandate exists. For unavailable/invalid mandates you can enter an objection within 13 months.
- Furthermore, DDs have to be marked as “One-off“, “First”, “Recurrent” or “Last”.
- The SEPA direct debit schemes distinguish between these debtor groups
- SEPA DD Core (with refund right) for consumers and corporate customers
- SEPA DD B2B (without refund) only for corporate customers
- Technical adaptation of the internal system for the XML format
- Since April 2013 there is a possibility to abbreviate the objection period: intra-Austrian direct debits may be submitted not later than 1 bank-workday before the due date at the bank. Precise informations about objection periods are available at your house bank.