SEPA mandates
There are two types of mandates:
- One-off
The signed mandate applies to a single direct debit. It expires after this single direct debit is made.
- Recurring
The signed mandate applies to a series of direct debits It becomes null after a period of 36 months with no payments or after a "FNAL" direct debit.
The SEPA mandate contains the following elements:
- The type of direct debit of the mandate: one-off or recurring.
- The UMR (Unique Mandate Reference): unique reference that identifies each signed mandate.
- The coordinates (name) of the debtor.
- The IBAN (International Bank Account Number) of the debtor: the account number serves to reliably identify the recipient of a transfer or a direct debit.The BIC (Business Identifier Code) that used to complete the IBAN during identification has become optional.
- The coordinates (name and address) of the creditor.
- The ICS (SEPA Creditor Identifier) of the creditor: a unique code that identifies each company with a permission to make direct debits. The ICS is assigned by the Banque de France via a financial institution.
- The date of mandate signature.
- The signature of the debtor authorized by his or her bank to operate the account where the direct debits take place.
Example of a direct debit mandate
The SEPA direct debit works in “sequences”. The following table lists the possible sequences for direct debit, each code corresponding to a type of mandate.
| Mandate type | Possible sequence for the direct debit | Code |
|---|---|---|
| One-off | ONE OFF: unique direct debit, not followed by other direct debits within the same mandate. | OOFF |
| Recurring | FIRST1: 1st direct debit of the series. | FRST |
| RECURRING: direct debits following the 1st one of a series. | RCUR | |
| FINAL: last direct debit of a series. | FNAL |
- The FIRST sequence is optional. The first SEPA direct debit of a series can be issued either with the “RCUR” presentation sequence or with the “FRST” presentation sequence.
The payment gateway handles sequence codes when issuing direct debit files to the creditor’s bank.
Revocation
The SEPA direct debit mandate can be revoked at any time by the debtor or the creditor.
In case where the revocation is initiated by the debtor, the bank where the account is located does not inform the payment gateway. The potential future transactions that concern this mandate will be considered as chargebacks. They can be identified in the chargeback logs by the return code MD01 (absent mandate).
Exp. date
A mandate becomes null after 36 months without a payment or following a “FNAL” direct debit. In this case, the payment gateway will refuse to create new transactions with this mandate (therefore, there will be no presentation in the bank).
If new direct debits are to be made with this client, a new mandate must be signed.