How do I collect using the SEPA Scheme?
To make a collection using the SEPA Direct Debit scheme, the Creditor must submit a file containing the Collection data (individual transaction amounts to be collected). This would then be submitted through their payments software or an online banking platform to commence the Collections process. The Debtor’s bank will act on the instructions if compliant with the rules and recieved in the following timeframes:-
Prior to due date:-
5 BBD* – First Collection. The first time you are making a collection from the Debtor
2 BBD* – Recurring Collection. Following a first collection, the subsequent collections made from the Debtor
2 BBD* – First & Recurring Collections. For B2B SEPA Direct Debit scheme users only
*BBD (Business Banking Days). For further explanation click Mandate Amendment
How long does a Creditor need to allow after sign-up before submitting a Collection file?
A Collection file can be submitted only after pre-notification but, no earlier than 14 days prior to the collection’s Due Date.