Last changed: Tue, 3 Jan, 2017 at 11:15 AM

Like any payment method, SEPA Direct Debit may experience unsuccessful transactions. These are called R-Transactions. There are 4 types of R-Transactions that can happen at various stages of the SEPA Direct Debit flow (see SEPA Direct Debit Timeline).

  1. Reject: The debtor bank rejects the SEPA Direct Debit (SDD). This may happen if the bank account is closed, invalid or does not exist.
  2. Refusal: A single transaction may be rejected (the mandate remains valid for further transactions) or a revocation of the mandate may occur, meaning additional transactions will be systematically refused.
  3. Return: The debtor bank returns the SDD because there was an issue while processing the SDD. The vast majority of returns are because of insufficient funds on the debtor account.
  4. Refund: Between D and D+8 weeks, the debtor can ask for a refund without any justification. Between D+8 weeks and D+13 months, the debtor can initiate a refund if they claim to have never signed a mandate.