SEPA Direct Debit

Learn how to accept SEPA Direct Debit payments.


The Single Euro Payments Area Direct Debit (SEPA) is a standardized payment method for bank-to bank transactions within the European Union.

Both one-off and recurring payments are supported by SEPA. Due to the risk of chargebacks, we don't recommend using SEPA for one-off payments or the sale of physical goods.

Payment Type Payment flow Recurring Refunds Partial Refunds Captures Partial Captures Chargebacks
Direct Debit Direct Yes Yes Yes Yes Yes Yes

You can accept SEPA payments with:

Integrate with Checkout SDKs

Our Checkout SDKs support one-off SEPA payments without any additional configuration. If you want to make recurring SEPA payments, you will need to make these with an API call.

To know whether a SEPA payment has been successfully processed, you will also need to set up notifications.

Integrate with API

In this section, we show the API integration steps for SEPA.

Before you begin this section, make sure you read and understand our API Integration guide.

Step 1:  Collect shopper details

When a shopper chooses to pay with SEPA:

  • Collect the following payment details from the shopper in your payment form:

    Payment details Example
    The name on the SEPA bank account. "A Schneider"
    The IBAN of the bank account. "DE87123456781234567890"

 Step 2: Make a payment

  • Make a /payments API call, providing:
    • reference: Your unique reference for this payment.

    • amount
    • paymentMethod:
      • type: sepadirectdebit.

      • sepa.ownerName: The name on the SEPA bank account.
      • sepa.ibanNumber: The IBAN of the bank account.

        Do not encrypt the sepa.ibanNumber.

    {
      "merchantAccount":"YourMerchantAccount",
      "reference":"sepa test",
      "amount":{
        "currency":"EUR",
        "value":"1000"
      },
      "paymentMethod":{
        "type":"sepadirectdebit",
        "sepa.ownerName":"A. Schneider",
        "sepa.ibanNumber":"DE87123456781234567890"
      }
    }
    If the payment was successfully received the response will contain a Received resultCode and a pspReference, which is our unique identifier for this payment. To know whether the payment was successful, track the status of the payment using  Notifications.

    {
      "pspReference":"881535534794261C",
      "resultCode":"Received"
    }

Step 3: Present payment result

  • Use the resultCode you received from the /payments endpoint to present the shopper with a the result of the payment via your website or app. 

SEPA result codes

The  resultCode  you will receive for SEPA is:

  • Received: The payment was successfully received. You will receive a notification when the status of the payment has been updated. If successful, you will receive the funds in 2 days.

To find out more about result codes and how you can action them, see Result codes.

SEPA notifications

Accepting notifications is required for SEPA, for both our Checkout SDK and API Integrations. When a SEPA payment has been received, it can be hours or even days before the payment is processed. By setting up notifications, we will notify you of the outcome once the payment has been processed.

Each SEPA notification has a:

  • pspReference: identifies which payment is being referred to.
  • eventCode : indicates the status of the payment.

If you haven't already set up notifications, refer to our notifications documentation for instructions.

Successful payments

You'll know a payment has been successful when you receive a notification for the transaction that has: 

  • eventCodeAUTHORISATION. 
  • successtrue.

Chargeback notifications

A SEPA chargeback notification can indicate that:

  • The shopper disputed the charge.
  • There were insufficient funds in the shopper's bank account.

The reason for the chargeback is indicated by the reason in the notification.

Here is an example of a notification that indicates a SEPA chargeback because there were insufficient funds in the shopper's bank account.

{
  "live":"false",
  "notificationItems":[
    {
      "NotificationRequestItem":{
        "amount":{
          "value":1000,
          "currency":"EUR"
        },

        "pspReference":"931354792477061C",
        "eventCode":"CHARGEBACK",
        "eventDate":"2020-01-01T01:02:01.111+02:00",
        "merchantAccountCode":"YourMerchantAccount",
        "merchantReference":"YourMerchantReference",
        "paymentMethod":"sepadirectdebit",
        "reason":"Insufficient funds",
        "success":true
      }
    }
  ]
}

Recurring SEPA payments

If you have a recurring or subscription business model we recommend tokenizing the shopper's payment details.

When you create a shopper token from a SEPA payment, we store their payment details with the token. The token can be used to make recurring payments for the shopper.

You can create a shopper token with either the SDK or API integrations, but to make recurring payments with the token you'll need to use the  /payments endpoint.

We strongly recommend that you request explicit permission from the shopper if you intend to make recurring SEPA payments. Being transparent about the payment schedule and the amount they will be charged will reduce the risk of chargebacks.

Create shopper token

Tokenize the shopper's payment details when you make the initial SEPA payment. The steps for doing this depend on whether you integrated with our Checkout SDKs or our API integration.

Checkout SDKs

  1. When you call /paymentSession to create a payment session, additionally include:

    • shopperReference: Your unique ID for this shopper.

    • enableRecurring: true.

  2. If the shopper's payment details were successfully tokenized, you'll receive a successful payment notification within a day. This will include a recurringDetailReference, which is the token you need to make recurring payments for this shopper.

API integration

  1. When you call /payments to make a payment, additionally include:
    • shopperReference: Your unique ID for this shopper.
    • paymentMethod.storeDetailstrue.
  2. If the shopper's payment details were successfully tokenized, you'll receive a successful payment notification within a day. This will include a recurringDetailReference, which is the token you need to make recurring payments for this shopper.

Make recurring payment

For each recurring payment for this shopper:

  • Make a SEPA payment with a /payments call, and additionally include:
    • recurringDetailReference: Token you received back in the initial payment.
    • shopperReference: The shopper ID you provided when created the shopper token.
    • shopperInteractionContAuth.
    {
       "amount":{
          "value":1000,
          "currency":"EUR"
       },
       "paymentMethod":{
          "type":"sepadirectdebit",
          "recurringDetailReference":"7219687191761347"
       },
       "reference":"Your Reference Here",
       "merchantAccount":"TestMerchant",
       "shopperReference":"yourShopperId_IOfW3k9G2PvXFu2j",
       "shopperInteraction":"ContAuth"
    }

    If the payment was successfully received the response will contain a Received resultCode and a pspReference, which is our unique identifier for this transaction. You can track whether the payment was successful using Notifications.

Chargebacks

If a shopper for some reason wants the funds from a payment returned, they can ask their bank for a refund. This is referred to as a chargeback.

For SEPA, the chargeback process gives significant consumer rights to the shopper. They have:

  • Eight weeks to dispute a SEPA payment without providing a reason.
  • Thirteen months to dispute an unauthorised or incorrect SEPA payment when they provide evidence to their bank.

You cannot defend against SEPA chargebacks. These will always result in the shopper receiving a refund.

For more information on the chargeback process, refer to Dispute management.

Testing your integration

Before making live SEPA payments, use the following Account Names and IBANs to test you integration.

Account Name
IBAN
Country
A. Klaassen NL13TEST0123456789 NL
B. Klaassen NL36TEST0236169114 NL
C. Klaassen NL26TEST0336169116 NL
D. Klaassen NL16TEST0436169118 NL
E. Klaassen NL81TEST0536169128 NL
F. Klaassen NL27TEST0636169146 NL
G. Klaassen NL39TEST0736169237 NL
H. Klaassen NL82TEST0836169255 NL
I. Klaassen NL72TEST0936169257 NL
J. Klaassen NL46TEST0136169112 NL
K. Klaassen NL70TEST0736160337 NL
L. Klaassen NL18TEST0736162437 NL
M. Klaassen NL92TEST0736163433 NL
A. Schneider DE87123456781234567890 DE
B. Schneider DE92123456789876543210 DE
C. Schneider DE14123456780023456789 DE
D. Schneider DE36444488881234567890 DE
E. Schneider DE41444488889876543210 DE
F. Schneider DE60444488880023456789 DE
G. Schneider DE89888888881234567890 DE
H. Schneider DE94888888889876543210 DE
I. Schneider DE16888888880023456789 DE
A. Pacini IT60X0542811101000000123456 IT
A. Grand FR1420041010050500013M02606 FR
A. Martin ES9121000418450200051332 ES
W. Hurth AT151234512345678901 AT
H. Gasser CH4912345123456789012 CH
R. Paulsen DK8612341234567890 DK
B. Dalby NO6012341234561 NO
A. Bak PL20123123411234567890123456 PL
A. Andersson SE9412312345678901234561 SE

You can check the status of SEPA test payments in your Customer Area > Transactions > Payments.

See also