SEPA (Single Euro Payments Area) will affect products, infrastructure and legality
Posted: Sun Dec 22, 2024 5:48 am
As we mentioned in a previous post, 60% of companies have not started the implementation of SEPA (Single Euro Payments Area) and for this reason Sage Spain is organizing a series of information sessions aimed at providing information on the implications of the process. José Buey, Head of GTB Product Management EMEA at Deutsche Bank, participated in them .
In his own words, it is time to take action and seize this opportunity to innovate and improve our business systems . SEPA is no longer a banking process but a regulatory process that we will have to start using in February 2014 and therefore we must focus on the regulatory aspects. We must be clear that SEPA includes three telegram korean list aspects, always speaking of transactions in euros: the products, the infrastructure and the legal framework.
From February 2014, transactions will have new elements: IBAN and BIC instead of the account number and national bank code , a unique number per mandate or the date of the mandate. For new mandates, the current date will be used, but for existing mandates, a fictitious date will be used. It must also be marked whether it is a B2B or SDD Core. The great advantage of B2B Direct Debit is that, although it can only be used between companies , it will reduce the risk since it will reduce the collection period to two days.
Taking into account all the regulations, large companies should consider the project as a whole, involving the entire company, not just the areas related to payments and accounting. The company should analyze the size of the scope of the project to identify the departments affected, the ERPS used and accounting. In addition, it should determine with which countries transactions and payments are made, as well as the payment methods used and the volume of transactions.
The SEPA migration will not affect all companies equally. Multinationals will have to consider strategic projects lasting several years to develop complex structures that allow them to centralise and improve their efficiency. Companies with limited activity in Europe will need individual solutions for specific problems that will help them reduce costs and give them a competitive advantage. On the other hand, local companies will have to tackle projects with a single regulatory purpose and will have to wait for the step-by-step implementation of modules developed as standard by suppliers or banks.
SEPA adoption will bring a number of strategic benefits . These include stronger payment incentives, better control and risk management due to standardised formats, optimised internal processes and improved visibility and access to cash. It also facilitates access to and growth in new markets and reduces bank fees across Europe. Streamlining, standardisation and centralisation will mean that customers in Europe will only need one account to make payments and transactions.
In his own words, it is time to take action and seize this opportunity to innovate and improve our business systems . SEPA is no longer a banking process but a regulatory process that we will have to start using in February 2014 and therefore we must focus on the regulatory aspects. We must be clear that SEPA includes three telegram korean list aspects, always speaking of transactions in euros: the products, the infrastructure and the legal framework.
From February 2014, transactions will have new elements: IBAN and BIC instead of the account number and national bank code , a unique number per mandate or the date of the mandate. For new mandates, the current date will be used, but for existing mandates, a fictitious date will be used. It must also be marked whether it is a B2B or SDD Core. The great advantage of B2B Direct Debit is that, although it can only be used between companies , it will reduce the risk since it will reduce the collection period to two days.
Taking into account all the regulations, large companies should consider the project as a whole, involving the entire company, not just the areas related to payments and accounting. The company should analyze the size of the scope of the project to identify the departments affected, the ERPS used and accounting. In addition, it should determine with which countries transactions and payments are made, as well as the payment methods used and the volume of transactions.
The SEPA migration will not affect all companies equally. Multinationals will have to consider strategic projects lasting several years to develop complex structures that allow them to centralise and improve their efficiency. Companies with limited activity in Europe will need individual solutions for specific problems that will help them reduce costs and give them a competitive advantage. On the other hand, local companies will have to tackle projects with a single regulatory purpose and will have to wait for the step-by-step implementation of modules developed as standard by suppliers or banks.
SEPA adoption will bring a number of strategic benefits . These include stronger payment incentives, better control and risk management due to standardised formats, optimised internal processes and improved visibility and access to cash. It also facilitates access to and growth in new markets and reduces bank fees across Europe. Streamlining, standardisation and centralisation will mean that customers in Europe will only need one account to make payments and transactions.