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🇪🇺 EU / International

SEPA Direct Debit Mandate

European Direct Debit Authorization

Easy ~5 min BankingPaymentsDirect DebitSEPA

/ What is this form?

SEPA (Single Euro Payments Area) is the European payment integration initiative covering 36 countries — all EU member states plus Iceland, Liechtenstein, Norway, Switzerland, and the United Kingdom (which remains in SEPA post-Brexit). SEPA Direct Debit is the standardized system for recurring automatic payment collection used across these countries. In 2024, over 22.5 billion SEPA direct debit transactions were processed, making it the backbone of recurring payment infrastructure in Europe.

A SEPA Direct Debit Mandate is the signed authorization from a payer (you) to a creditor (a company or individual) allowing them to collect specified payments from your bank account on agreed dates. There are two schemes: SEPA Core Direct Debit (consumer-facing, with an 8-week no-questions-asked refund right) and SEPA B2B Direct Debit (business-to-business, faster processing, no automatic refund right).

SEPA mandates are used for virtually all recurring payment relationships in participating countries: rent, utilities, insurance, gym memberships, internet and mobile contracts, magazine subscriptions, and loan repayments. The mandate stays in force until cancelled by either party. Millions of new mandates are signed annually as consumers establish new contracts and businesses.

/ Who needs this form?

  • Anyone setting up recurring payments in Germany, France, Spain, Italy, or any other SEPA country
  • Tenants authorizing automatic rent collection to landlords
  • Consumers setting up direct debit for utilities, insurance, or internet contracts
  • Businesses authorizing automatic supplier payments or SaaS subscriptions
  • People moving to a SEPA country who need to set up direct debits for essential services

/ What you need before you start

Your IBAN (found on your bank card, online banking, or by asking your bank)
Your BIC/SWIFT code (found on your bank's website or online banking)
Your full name as registered with the bank for that account
Your address
The creditor's Creditor Identifier (Gläubiger-ID / Identifiant du créancier) — pre-printed on the mandate
The Mandate Reference number — assigned by the creditor

/ Step-by-step guide

1 Receive the Mandate Form
The creditor (company collecting payment) provides the mandate form — either as a paper document, a digital form on their website, or embedded in a contract. The creditor assigns a unique Mandate Reference number (Mandatsreferenz) and provides their own Creditor Identifier (Gläubiger-ID). Check that both are pre-printed on the form before signing.
2 Enter Your Banking Details
Provide your IBAN (International Bank Account Number — up to 34 characters, starting with your country code) and the BIC (Bank Identifier Code / SWIFT code — 8 or 11 characters). BIC is mandatory for cross-border SEPA transactions; it may be optional for domestic transactions in some countries.
3 Confirm Personal Details
Enter your full name and address as the account holder. If you are a business signing a SEPA B2B mandate, enter the company name and registered address. Verify that the name matches what is registered with your bank for the IBAN.
4 Sign and Return
Sign and date the mandate. For paper mandates: return to the creditor by post or in person — do NOT send to your bank. Your bank is notified automatically when the first collection occurs. For digital (electronic) mandates: complete the online signing process. The creditor keeps the mandate on file for the duration of the agreement.

/ Key fields explained

Field What to enter Common mistake
IBAN Your full IBAN — typically 18-27 characters for most European countries (e.g. Germany: DE + 20 digits, UK: GB + 22 characters). Available on your bank statement, online banking app, or by asking your bank. Entering the account number and sort code instead of the IBAN — in SEPA countries, only IBAN is accepted. Convert using your bank's IBAN calculator if needed.
BIC / SWIFT Code Your bank's 8- or 11-character BIC (e.g. DEUTDEDB for Deutsche Bank, BARCGB22 for Barclays). For domestic SEPA transactions within the same country, BIC may be optional since 2016. Using a BIC for the wrong branch — if your bank has multiple BICs (for different branches or services), use the one corresponding to your account's branch.
Mandate Reference (Mandatsreferenz) Pre-assigned by the creditor — copy it exactly from the mandate form. Do not change or leave blank. Filling in your own reference number — the Mandatsreferenz is assigned by the creditor and is used to track and dispute specific mandates. Using a different number invalidates the mandate.
Type of Payment (One-Off vs Recurring) Most mandates are 'recurring' (wiederkehrend). One-off mandates are for single transactions. Check the box that corresponds to your agreement with the creditor. Checking 'one-off' when the mandate is intended for recurring payments — this means the mandate becomes invalid after the first collection, and further debits can be disputed.

/ Common mistakes to avoid

Sending the signed mandate to your bank instead of the creditor — banks do not manage SEPA mandates. The mandate goes to the company collecting payment.
Cancelling only with the creditor and not with your bank — if a company continues collecting despite mandate cancellation, instruct your bank to block future collections from that creditor identifier.
Not checking the IBAN before signing — an incorrect IBAN means payment goes to the wrong account and recovery can be slow.
Not keeping copies of signed mandates — you may need the mandate reference and creditor ID to dispute an unauthorized collection.
Assuming you can dispute all SEPA debits — SEPA Core has an 8-week refund window; SEPA B2B (business mandates) has no automatic refund right.

/ Frequently asked questions

How do I dispute a SEPA direct debit I did not authorize?

Contact your bank immediately. For SEPA Core mandates, you have 8 weeks from the debit date to request a refund, no reason needed. For debits with no mandate at all, you have 13 months. Request the reversal at your bank's counter or through online banking — banks are obligated to process it.

Can I cancel a SEPA mandate?

Yes. Notify the creditor in writing (email or letter) that you are cancelling the mandate, and separately instruct your bank in writing to block further collections from that creditor identifier. Both steps together ensure the cancellation is effective.

Is SEPA direct debit available in the UK post-Brexit?

Yes. The UK remains a SEPA participant for payment purposes. British IBANs are valid in SEPA transactions and UK businesses can continue to collect and make SEPA payments. However, Brexit has added some friction for cross-border B2B mandates in certain sectors.

What is the difference between SEPA Core and SEPA B2B?

SEPA Core is the consumer scheme — any person with a bank account can use it, collections can happen 1 business day after mandate setup, and you have an 8-week no-questions-asked refund right. SEPA B2B is business-to-business — both parties must be businesses, collections are faster (same day or next day), and there is no automatic refund right.