What is a SEPA direct debit (SDD) return?

At the SEPA Direct Debit (SDD Core or B2B) due date or after the due date, the debtor bank can issue an interbank SDD return to the creditor bank, either on its own initiative (ex: unsufficient funds) within 5 banking days, or on the debtor’s initiative (refund request).

SDD returns translate into:
• The re-credit on the debtor bank account of the total SDD amount (no partial refund allowed)

• The debit of the creditor bank account of the same amount

When the return request is initiated by the debtor, dispute possibilities/delays are different depending on the type of SDD (Core or B2B):

SDD TYPE

DISPUTE REQUIREMENTS

CORE SDD

• Between D and D + 8 weeks (D = debit date of the debtor bank account/business days): SDD return processed automatically (whatever the reason) by the debtor bank

• Between D + 8 weeks and D + 13 months (D = debit date of the debtor bank account/business days): SDD return only possible when the debtor disputes the direct debit for the reason “unauthorized transaction”, and subject to the application by the debtor bank of the proof of consent verification procedure (more details in the dedicated topic)

B2B SDD

• Between D + 8 weeks and D + 13 months (D = debit date of the debtor bank account/business days): SDD return only possible when the debtor disputes the direct debit for the reason “unauthorized transaction”, and subject to the application by the debtor bank of the proof of consent verification procedure (more details in the dedicated topic)

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