SEPA Rulebook 2017 – What has changed?

Published: 19 November 2017
Updated: 19 December 2017

The new SEPA Rulebook will be released and enter into force starting from the 20th November 2017.  The changes made concern both Sepa Direct Debit Schemes, particularly the Sepa Direct Debit B2B. Here follows a more in depth analysis of the changes affecting the SEPA Direct Debit Schemes. 

Changes concerning both SEPA Direct Debit B2B & CORE

The new  regulation makes it mandatory to fill out the address and country of the debtor in the SEPA Direct Debit transactions with a debtor account in one of the following non EEA countries:

  • • Switzerland (CH)
  • • Monaco (MC)
  • • San Marino (SM)
  • • Saint-Pierre and Miquelon (PM)
  • • Jersey (JE)
  • • Guernsey (GG)
  • • Isle of Man (IM)

The address and country information must be placed in the following XML Tags in the SEPA Direct Debit initiation file (pain008):

AdrLine <DrctDbtTxInf><Dbtr><PstlAdr><AdrLine> and

Ctry <DrctDbtTxInf> <Dbtr><PstlAdr><Ctry>

From 20th November 2017 transactions without address and country of the debtor will not be executed, resulting in a reject that will be reported in clients account reporting with reason code RR02 and MS03 for German SDD creditors.

Changes concerning only SEPA Direct Debit B2B

The regulation has extended the period during which SEPA Direct Debit Business to Business collections can be returned by the debtor bank. The returning period has been extended from two to three interbank business days.

With this new update of an extra day for returning the transaction, SEPA Direct Debit B2B creditors are ensured that their debtors have paid the transactions after three days.

A new added reason code for B2B

A new explanatory code – MD07 – Debtor Deceased – has been added for the SEPA Direct Debit B2B 2017 collections in case of exception handling. Therefore, as from the entrance into force of the updated SEPA Rulebook, creditors using the SDD B2B could receive this specific code in response to a B2B transaction.