With the successful launch of SEPA credit transfers in January 2008, the first step was taken towards the standardisation of payment transactions within the EU. However, many banks and insurance companies have not yet prepared their IT systems for the second stage - SEPA direct debit - which is scheduled to follow in 2009. Decision-makers in the financial sector can find the latest IT solutions relating to SEPA at the European Banking & Insurance Fair (E.B.I.F.) 2008, which will take place in Frankfurt from 18 to 20 November.
The aim is for cashless payment transactions between different European countries to be faster and significantly more secure than has been the case to date. Hans-Rainer van den Berg, Chairman of Van Den Berg AG and SEPA expert, sees the launch in January 2008 as a good start: "The new SEPA payment instrument will be used primarily for cross-border payments and will take the place of the standard EU credit transfer. However, it is only likely to be used extensively for domestic payments once banks provide their customers with assistance in automatically converting bank codes and account numbers to IBAN-BIC. Private and commercial banks in particular have this obligation." The existing online file transfer (DTA)
process and the new SEPA process are expected to run parallel for a few more years before SEPA takes over completely.
The introduction of SEPA direct debit is planned for November 2009, when the European Union Payment Services Directive (PSD) must be implemented in the national law of all SEPA countries. "However, it is advisable to address this question and to plan and migrate the IT systems early on, so that banks and their customers can benefit as soon as possible from the additional security offered by SEPA", says Armin Gerhardt, Managing Director of ABK-Systeme GmbH, a company specialising in payment transactions. At present, many IT providers are working together with their customers to develop suitable products that can be integrated within existing IT systems. "For a medium-sized bank, the cost of switching over to SEPA will be at least six figures", adds Armin Gerhardt. Early planning ensures that the advantages of the new process can be reaped without delay. Financial institutions must ensure that their payment transactions conform completely with SEPA by 2010 at the latest. This applies to automated clearing houses as well as to providers of foreign currency or banks of all sizes.
The E.B.I.F. is Europe's largest independent trade fair for solutions and services in the financial sector. In 2008, the E.B.I.F. will once again take place during Euro Finance Week, the high-powered industry gathering of the European finance and insurance sectors. Among the new elements that will shape the E.B.I.F. this year are four theme areas that focus on individual aspects of the sector, each containing demonstration points at which exhibitors can present their products. The Business Solutions Forum(BSF), which was launched with great success in 2007 together with the Maleki Group, will also be continued. Here, IT providers can showcase tried-and-tested solutions together with their customers. On the second day of the event, the BSF will focus on the question of payment transactions, featuring key elements such as SEPA and SWIFT.
E.B.I.F. - The European Market Place for Financial Services Solutions!
Dates for 2008:
11Th EURO FINANCE WEEK 17 - 21 November 2008
E.B.I.F. Trade Fair 18 - 20 November, 2008
Finanzplatz Gala - 21 November 2008
The aim is for cashless payment transactions between different European countries to be faster and significantly more secure than has been the case to date. Hans-Rainer van den Berg, Chairman of Van Den Berg AG and SEPA expert, sees the launch in January 2008 as a good start: "The new SEPA payment instrument will be used primarily for cross-border payments and will take the place of the standard EU credit transfer. However, it is only likely to be used extensively for domestic payments once banks provide their customers with assistance in automatically converting bank codes and account numbers to IBAN-BIC. Private and commercial banks in particular have this obligation." The existing online file transfer (DTA)
process and the new SEPA process are expected to run parallel for a few more years before SEPA takes over completely.
The introduction of SEPA direct debit is planned for November 2009, when the European Union Payment Services Directive (PSD) must be implemented in the national law of all SEPA countries. "However, it is advisable to address this question and to plan and migrate the IT systems early on, so that banks and their customers can benefit as soon as possible from the additional security offered by SEPA", says Armin Gerhardt, Managing Director of ABK-Systeme GmbH, a company specialising in payment transactions. At present, many IT providers are working together with their customers to develop suitable products that can be integrated within existing IT systems. "For a medium-sized bank, the cost of switching over to SEPA will be at least six figures", adds Armin Gerhardt. Early planning ensures that the advantages of the new process can be reaped without delay. Financial institutions must ensure that their payment transactions conform completely with SEPA by 2010 at the latest. This applies to automated clearing houses as well as to providers of foreign currency or banks of all sizes.
The E.B.I.F. is Europe's largest independent trade fair for solutions and services in the financial sector. In 2008, the E.B.I.F. will once again take place during Euro Finance Week, the high-powered industry gathering of the European finance and insurance sectors. Among the new elements that will shape the E.B.I.F. this year are four theme areas that focus on individual aspects of the sector, each containing demonstration points at which exhibitors can present their products. The Business Solutions Forum(BSF), which was launched with great success in 2007 together with the Maleki Group, will also be continued. Here, IT providers can showcase tried-and-tested solutions together with their customers. On the second day of the event, the BSF will focus on the question of payment transactions, featuring key elements such as SEPA and SWIFT.
E.B.I.F. - The European Market Place for Financial Services Solutions!
Dates for 2008:
11Th EURO FINANCE WEEK 17 - 21 November 2008
E.B.I.F. Trade Fair 18 - 20 November, 2008
Finanzplatz Gala - 21 November 2008
