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Payment methods overviewGlobal
EU & UK
Bacs Direct Debit - BETA
Bancontact
BLIK
eps
Estonian Banks
giropay
iDEAL
Latvian Banks
Lithuanian Banks
Maxima
MyBank
Multibanco
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Pay by Bank app (PbBa)
Paysafecash
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Przelewy24 | P24
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SEPA Direct Debit - BETA
Sofort.
Trustly
APAC
US & LATAM

SEPA Direct Debit - BETA

This payment method is currently available in beta testing program. Please reach out to your Airwallex account manager or [email protected] if you'd like to join the beta.

SEPA Logo

The Single Euro Payments Area (SEPA) Direct Debit is a standardized payment method for bank-to-bank transactions within the European Union. Direct Debit is a simple, cost-effective way to take recurring payments where same-day payment isn't required.

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.

Supported features

FeaturesSEPA Direct Debit
Payment typeDirect Debit
Merchant supported countries/regionsHK, AU, SG, UK, EU
Shopper supported countries/regionsEU
Processing currenciesEUR
Settlement currencies*EUR
Minimum transaction amountN/A
Maximum transaction amount*4,000 EUR
Session timeoutN/A
Recurring Payments
Refunds
Partial Refunds
Chargebacks
Dynamic descriptor*⛔ - Airwallex will appear as receiver on the bank statement
Settlement thresholdN/A
Settlement frequencyDaily

*Use Airwallex Auto FX feature to unlock more settlement currencies.

*Support for increasing the maximum transaction amount is available on a case by case basis as per approval from the risk committee.

*Dynamic descriptor behavior depends on the banks.

Integration options

Airwallex has built a range of client-side integration methods that allow you to manage your UI, minimize your implementation effort and enable you to get to market quickly.

Integration typeSupported
HPP (Hosted Payment Pages)
Embedded Elements
Drop-in Element
API
Payment Links
Mobile SDK
Plugin

Omni-channel support

Airwallex’s SEPA Direct Debit solution supports the following desktop and mobile channels.

SEPA Direct DebitDesktop Website BrowserMobile AppMobile Website Browser
One-off Payment
Recurring Payment

Mandate

In accordance with the SEPA scheme rules, you MUST be authorized by the owner of a bank account before processing SEPA debits from that bank account.

It is suggested that you display the Direct Debit mandate terms below for your customer on the checkout form. Only upon your customer’s authorization will you be able to initiate debits from your customer’s bank account.

A Direct Debit will only be set up if you are an authorized signatory on this account. By clicking "Confirm", you are confirming that you are authorized to set up a Direct Debit on this account and you understand that Airwallex will be collecting Direct Debits on behalf of {merchant’s name}. Airwallex will appear on the statements of this account following each Direct Debit payment.

If you integrate through Hosted Payment Page (HPP) or Drop-in, Airwallex will display the authorization terms for you.

Airwallex will send Direct Debit confirmation email to your customers automatically when the mandate is successfully setup in the SEPA scheme with mandate as attachment. See a sample as below:: SEPA DD Authorization Email

If you want to customise the email, contact our support team to add your corporate logo on this email. You can also turn off Airwallex confirmation email and send your own copy. You should provide the customer a confirmation for the mandate setup, either via email or as a downloadable copy on your website.

You should include wording advising of the content and purpose of this email and wording advising the recipient should check all the details and to contact support using a provided contact method if anything is incorrect. You should also include below information in your email:

AttributesSample
Account holder nameJohn Smith
IBANxxxx0123
Bank nameABC bank
Direct Debit amountxx EUR
FrequencyMonthly
Contact information[email protected]

SEPA DD Mandate

Verification

Airwallex offers TrueLayer and micro-deposit services to help you verify the bank accounts. TrueLayer is an open banking solution that helps you verify the banks account instantly and securely. It's recommended that you enable both options during configuration.

SEPA DD Verification

For micro-deposit verification, Airwallex will send 2 micro deposits to the owner’s bank account and an email with the verification link to the shopper. The 2 micro deposits may take up to 2 days to arrive. After the shopper receives the micro deposits, they can enter the 2 amounts on verification link to get the account verified. Click here to learn more about micro-deposit verification.

TrueLayer will be set as the default verification option. If your wish to use micro deposits or skip verification please reach out to your account manager or [email protected]

Disputes

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 unauthorized or incorrect SEPA payment when they provide evidence to their bank.

SEPA Direct Debit disputes are final and can’t be appealed. If a customer successfully disputes a payment, you must contact shoppers if they want to resolve the situation by initiating a new payment.

Disputes on SEPA payments are fundamentally different than those on credit card payments. You cannot defend against SEPA Direct Debit disputes. These will always result in the settlement being reversed. You must contact your customer to resolve the situation.

Chargeback handling

Any bank rejections or chargebacks are treated as disputes by Airwallex. If a dispute gets created, Airwallex sends the dispute.accepted webhook event, and deducts the amount of the dispute and associated dispute fee from your pending settlement amount.

Risk of double-crediting with refunds and disputes

Please note the risk of double crediting with refunds and disputes. If you proactively issue your shopper a refund while their bank also initiates the dispute process, they may receive two credits for the same transaction.

When issuing a refund, you should notify your customer immediately that you’re issuing the refund and that it may take 3-4 business days for the funds to arrive in their bank account.

On this page
  • Supported features
  • Integration options
  • Omni-channel support
  • Mandate
  • Verification
  • Disputes