SEPA mandates and return debits
Overview
This page explains SEPA Direct Debit mandates, return debits, and refunds from the client's perspective.
You can share the Pay by SEPA Direct Debit guide with customers who need help authorizing or completing a payment.
Cleverbridge processes two documented SEPA Direct Debit mandate types:
- Single SEPA Direct Debit mandate: authorizes one debit for a purchase or manual renewal.
- Recurring SEPA Direct Debit mandate: authorizes recurring debits for a subscription. A customer can revoke the mandate, which prevents future collection under that mandate and affects future renewals.
The European Central Bank defines SEPA Direct Debit as a payee-initiated payment based on payer consent through a mandate. See the ECB SEPA overview.
Return debits
A debit can be returned when:
- The customer provided incorrect payment details.
- The customer's account has insufficient funds.
- The customer's bank does not permit the direct debit.
- The customer canceled the mandate before a subscription renewal.
- The customer disputed a completed debit.
A completed debit can be returned after the order was initially marked Paid. Cleverbridge then changes the order to Return Debit Waiting for Payment and sends the customer instructions for resolving the outstanding amount. After a replacement payment is received, the order returns to Paid.
Refund rights and refunds
For euro direct debits, the ECB describes an unconditional refund right during the eight weeks after the account was debited. It also describes a period of up to 13 months for an unauthorized collection. See the ECB instant-payments brochure and PSD2 overview.
When Cleverbridge handles a refund, the operational path depends on whether the debit has completed:
- Before Cleverbridge receives the payment, canceling the debit prevents the customer from being charged.
- After Cleverbridge receives the payment, Cleverbridge initiates a return to the customer's bank account.
- Refunding an order with the status Return Debit Waiting for Payment cancels that order.
Mandate cancellation
Revoking a recurring mandate prevents future debits under that mandate, but it does not by itself cancel the underlying subscription or reverse completed payments. The customer must manage the subscription separately.
For general scheme context and payer protections, see the ECB SEPA overview.