Enabling recurring payments within the Single Euro Payments Area (SEPA)
For many services, such as telephone subscriptions, utility (heating, electricity and water), public transportation, insurance policies and many more, consumers have to pay the related fees on a regular basis. Such regular payments are mostly executed as SEPA Direct Debits (SDD). SDD payments are very convenient for the consumer because after the mandate signing there is no need for further involvement for each single payment. For merchants and corporates they offer a convenient way to handle their regular invoices.
Corporates and resellers who want to offer this convenient payment solution to their customers can rely on our SEPA Payment Suite (SPS), which offers a SEPA compliant service (white-label solution) for the end-to-end management of SDD payments.
How does it work?
With an SDD, the bank of the creditor (e.g. merchant, corporate or reseller) collects money from the consumer´s (B2B/B2C) account on a regular basis. In order to use this payment method the consumer has to sign a mandate that gives the creditor permission to debit money from the consumer’s account. This mandate contains information about the payer like name, IBAN and signature date. 14 Days before each debit transaction, the creditor has to inform the consumer (debtor) about the payment due date and the amount.
Our SEPA Payment Suite enables your customers to manage the mandate lifecycle (creation, validation via e-signature, archiving, etcetera) of their SEPA Direct Debit transactions (one-off or recurring).
You can be sure to get paid even if the SEPA Direct Debit is refused by the consumer bank, thanks to our Payment Guarantee option (step 7 'Score and Secure Payment'). This valuable feature will mitigate your risk of non-payment and reduce your effort of analysing R-Transactions and dunning process.
Use Cases - Benefits for a wide range of customers
The combination of a flexible payment method with a seamless payment process makes this solution suitable to customer needs from numerous sectors, such as:
Public Transport subscription Bike-sharing system Toll badge & Parking
Energy subscriptions: water, electricity, fuel, gas, etc.
Health & Social
Contributions : health insurance, retirement pension Reimbursement of medical expenses Fitness club and sports abonnement
Automotive & Industry
Fuel card eCar charging card Assistance services
Telecommunications & Medias
Internet and mobile subscription Music and video streaming Newspapers
Service to corporates: coffee machine, cleaning, maintenance, etc. Market place: merchants subscriptions to be visible, etc.
Public Sector & Education
Public bodies : taxes Education: school fees, cafeteria Semester fee
Car and house insurance Loans Indemnity and compensation
- Access via back-office, web service, or file-transfer
- Conversion of domestic file formats to SEPA
- Management of SEPA files: PACS, SDD B2B/B2C, SCT, SCT Inst, R-Transaction
- Split, enrichment features
- Manual validation / threshold parameters
- Archiving of transactions during whole mandate activation
- Integration & event reporting
Electronic signature for
- Archiving, lifecycle, change updates, switching account
- Access via back-office or web service
- SDD mandates
- parametrization of own rules and scoring
- IBAN check and verification
- Detailed statistics on mandates, SDDs, SCTs, R-Transactions
- Transactions research modules
- Cash forecast functionality for Treasurers
- Manage complex corporate hierarchy organisation
Value for Customers
Merchant / Service Provider (Creditor)
- No missed or late payment
- Fully digital payment method
- Convenient payment method because no further interaction necessary after setup of the payment
- Clear control of payment means by defining the mandate (creditor, amount, frequency)
- Full control over the payments due to regular payment pre-notifications
- Possibility of payment reject in case of unauthorized payment
- Very secure payment mean (trust)
- No risk of transferring money to the wrong payee
- Lower payment costs compared to cards
- Secure payment transaction - fully compliant with regulations
- Full control of the payment process (in combination with billing)
- Reduced payment failures
- Higher customer satisfaction and loyalty
- Payment will be less visible for consumer (set it up and forget)
- Secure and predictable revenue stream/cash flow --> Improvement of Cash Management
- Environmental friendly (no paper)