What is the SEPA mandate?
The SEPA mandate is the written authorisation a debtor (the party paying) gives to a creditor (the party collecting) so the creditor can issue direct debits against the debtor’s bank account. It is the foundation of SEPA Direct Debit (SDD) — without it, no bank will accept the collection.
TL;DR
- The mandate is signed by the debtor before the first collection.
- It is kept by the creditor, not the bank. Retain it for the active life of the mandate + 14 months after the last collection.
- Each mandate has a Unique Mandate Reference (UMR) chosen by the creditor.
- Two variants: CORE (standard, consumers) and B2B (between companies).
- It can be signed on paper or electronically as long as evidence is preserved.
Components of a valid mandate
A SEPA mandate must include:
- Creditor details: name, address and Creditor Identifier (CID) — see what is the SEPA creditor identifier.
- Debtor details: name, address, IBAN and optional BIC.
- Unique Mandate Reference (UMR): chosen by the creditor; must be unique within its organisation.
- Payment type: recurrent or one-off.
- Scheme: CORE or B2B.
- Legal text: authorising the creditor to collect and the debtor’s bank to debit.
- Date and debtor’s signature.
You can download our free SEPA mandate template.
Who keeps the mandate?
The creditor (you, if you collect). The debtor’s bank can ask for a copy at any time — usually after a claim. If you cannot produce it, the collection is refunded to the debtor and your bank passes the cost back to you with a return fee.
Retention periods
| Situation | Period |
|---|---|
| Mandate active | Full life of the mandate |
| After last collection | Minimum 14 months (max. refund window) |
| Tax audits | Whatever your tax authority requires (commonly 6+ years) |
CORE vs. B2B
| Topic | CORE | B2B |
|---|---|---|
| Allowed debtor | Individuals and companies | Companies only |
| Debtor refund window | 8 weeks no questions + 13 months unauthorised | Only if the debtor’s bank contractually allows it |
| Pre-notification to debtor’s bank | Not required | Required before the first collection |
| Risk for creditor | Higher | Lower |
Electronic mandate signing (e-mandate)
An online-signed mandate is valid when:
- The debtor is identified with sufficient methods (qualified seal, online banking, video ID…).
- The signature log is kept (date, IP, document hash, identity).
- The signed document contains exactly the same data as the paper version.
Amendments
If something changes (debtor’s IBAN, creditor name, CID), you do not need a new mandate: the creditor must mark the next collection as an amendment indicating which field changed compared to the original mandate.
Conclusion
The SEPA mandate is your safety net for collecting. Look after it: a bad reference or a missing mandate means unpaid collections with a cost. When you generate your SEPA file with GenerateSEPA, we make sure every direct debit carries a coherent mandate reference.
