KBC Bank and the pan-European card and payment processor Equens SE have signed a contract to extend the processing of SEPA Credit Transfers (SCT) payments until 2015.
Equens processes all of the SCT transactions for the branches of KBC Bank in Belgium, France, the United Kingdom and the Netherlands. In the coming years, the number of these transactions – more than 100 million in 2011 – is expected to continue to rise, especially as the 1 February 2014 SEPA compliance deadline for euro countries nears. Non-euro countries must comply by October 2016. The greatest challenge facing corporations, however, is on the SEPA Direct Debit (SDD) side, where the need for many firms to update mandates is causing considerable logistical headaches.
Commenting on the SCT contract renewal, Ivo De Meersman, general manager of payments at KBC Bank, said: “After carefully considering more than ten companies, we once again chose Equens. Our choice was largely based on our previous experiences with them in back-office processing. However, the deciding factor for KBC Bank was the excellent price-quality ratio Equens offers.”
Equens is doing its utmost to make the arrival of the Single Euro Payments Area (SEPA) on 1 February 2014 as smooth and efficient as possible. With the implementation of the European payment products, the technical side of the payment settlement process is going to change completely, due to the use of, among other things, new file formats, interfaces and BIC/IBAN codes. National payment products will make way for SEPA Credit Transfer (SCT) and SEPA Direct Debit (SDD) from 2014 onwards.