SEPA

01.01.2009

What is SEPA (Single Euro Payments Area)?

SEPA or the Single Euro Payments Area is the most important project of transforming and merging national payment systems into a single European payment system.

SEPA has been defined as the payment area within which all EU citizens and other economic entities can make and receive euro payments either within or across their country borders according to the same basic conditions, rights and obligations regardless of their geographic location.


Why SEPA?

The Lisbon strategy from 2000 predicts a thorough economic regeneration of EU members: establishing an effective internal market, increasing investments into research, and improving education. SEPA represents the key element of the new strategy for establishing a single euro payments area, supported by the required legislature and mechanisms to provide equal operating conditions within this area for all European citizens and companies.

The main project holders are banks, which must first form and provide uniform technical and operational frameworks. Implementation of the SEPA initiative will be coordinated within the European Payments Council (EPC) and supervised by the European Central Bank.

Legal framework

The legal framework for implementing activities within SEPA is contained in the Payment Services Directive that was prepared by the European Commission. The Payment Services Directive provides a uniform, coordinated legal framework which seeks to ntegrate the internal payment instruments and legislation of all member states by 01/11/2009 regardless of their participation in SEPA. Its goal is to ensure that payments anywhere in the EU (credit payments, direct debits and card payments) are equally as simple, safe and efficient as domestic payments in any member state. Users of the payment services will thus have the same level of security and legal certainty anywhere in the entire EU area.

What are the advantages of SEPA?

SEPA will enable the saving of time and money as natural persons and companies will be able to perform their financial transactions from a single bank account by using the SEPA payment instruments.

Example: A Slovenian citizen living in Portugal would be able to transfer a payment in euros for the running costs of his/her house in Slovenia through his/her account, open with a Dutch bank, with no limitations.

SEPA primarily protects and makes equal the rights of European consumers as well as removing the barriers of national borders. All users will have the same basic conditions, rights and obligations. All European citizens will thus be provided with the opportunity to choose the best provider of payment services.


Useful information:

www.zbs-giz.si/
www.bsi.si/
http://www.europeanpaymentscouncil.eu/content.cfm?page=sepa_vision
http://www.ecb.int/paym/sepa/html/links.en.html