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What is a SEPA Direct Debit?

The SEPA Direct Debit (SDD) is the European standard for direct debit payments. It allows any client in the SEPA area to pay bills in euros automatically from their bank account. With SDD, you can pay your utility bills such as electricity & water, or mobile & home internet bills conveniently and hassle-free.

How do SEPA Direct Debits work?

You authorise the provider to collect fixed or variable amounts on a one-off or recurring basis, and payments are deducted automatically from your bank account.

With a Direct Debit, the payment date or amount may change according to your agreement with the service provider. The Bank will send you a notification one day before the payment is due; to help ensure you have enough funds in your account.

Through our mobile app or online banking platform you can also check that each mandate matches what you agreed with the service provider and also check that the amounts being debited are correct.

Direct Debit mandates generally remain valid until you choose to cancel them.

What happens if I cancel a Direct Debit?

If you cancel a specific payment, that transaction will not be processed. However, your direct debit mandate will remain active, and any future payments under this   mandate will still be processed.

If you cancel the mandate, you will stop all future payments under this agreement. Be sure to inform the service provider. To set up payments in the future, you’ll need to set up a new mandate with the company.

What happens if a Direct Debit is erroneously processed?

The Bank has systems in place to minimise errors, but mistakes can still occur, for example, if a payment is taken after you cancel a contract or if an incorrect amount is charged. In such situations, you have the right to request a refund within 8 weeks. This applies to all direct debits, whether processed within Malta or across the EU. Refer to the Direct Debits T&Cs for more information or contact us directly for guidance.

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