Main differences between SEPA Direct Debit Core and SEPA Direct Debit B2B Schemes
Before considering the differences between SEPA Direct Debit Core and SEPA Direct Debit B2B Schemes, it is worth reminding ourselves what a scheme is. The European Payments Council (EPC) defines a scheme as following: “A payment scheme is a set of rules which Payment Services Providers (PSPs) have agreed upon to execute transactions through a...
Creditor-driven and Debtor-driven Mandate Flows for the SDD
There exists two direct debit models: the Creditor-driven Flow and the Debtor-driven Mandate Flow. The SDD Schemes are based on the first model, the CMF. This article will answer the following questions: What are the direct debit models? What are their main differences?
A direct debit model essentially tells us how a mandate is issued...
The Four Corner Model for SEPA Direct Debit
If you ever want to understand how a payment instrument works and specifically the SEPA Direct Debit, the place to start is to draw the Four Corner Model and to study it. In introductory articles, we analyzed the open loop model, which remains the most widespread payments system model in the world. The Four...
