Direct Debit Reversal Initiation

PelicanPay accepts, validates and processes Direct Debit reversal messages (pain.007) from the corporate back-office or through manual initiation and sends out valid files to the Bank using the following SEPA compliant process:

SDD Reversal Processing flowchart

 

Reversal import and capture OR Manual initiation from direct debit

 

PelicanPay accepts files containing Reversal messages (pain.007) from the corporate back office.  PelicanPay also allows users initiation of Reversals from processed Direct Debit instructions through the user interface.

 

Translation

 

In case the files are not SEPA pain.007 format, they are converted to the ISO 20022 XML pain.007 format along with any enrichment as required.

 

Validations

 

PelicanPay performs comprehensive validations on the instructions:

SDD Reversal Processing circular flowchart

Syntactical and semantic Validation

PelicanPay checks if the format and structure of the reversal instructions is correct.

SEPA EPC Rulebook validation

PelicanPay checks if the reversal satisfies validations mentioned in SEPA EPC Rulebook.

Creditor identification

Check for the validity of Creditor Identification code used in the instruction.

Duplicate check

Check to identify if the instruction was processed before.  This works on either the entire contents of the instruction OR key parameters of the instruction.

Mandate check

If mandate information is available with PelicanPay, the reversal is checked against the mandate to ensure it is consistent and in agreement with the terms of the mandate and also that the mandate is still active.

Timeline check based on scheme

PelicanPay checks if the reversal initiation falls within the timelines specified in the EPC guidelines for the applicable scheme.

IBAN BIC check

PelicanPay checks whether the Debtor Agent BIC corresponds or is consistent with the IBAN of the Debtor.

Additional country and bank specific checks

The message is validated against any relevant country or bank specific validations.

Matching with Direct Debits and mandates

PelicanPay matches the instructions to the respective direct debit transaction and their corresponding mandates and links them so that they are visible while performing a drill-down to transactions from the mandates.

Exception handling

PelicanPay moves the credit transfers to the appropriate queue for manual intervention if they fail any of the validations checks or the duplicate check.

Translation and country and bank specific enrichment

If required the instructions will be translated into a format required by the destination bank.  PelicanPay will enrich the reversal instruction with additional information as required by the destination country and the bank.

Transmission

PelicanPay will securely transmit the final instruction to the destination bank.