Overview on the national migration plan

Confirmation of the migration of credit transfer and direct debit

  • SEPA Credit Transfer: will be proposed by banks from 28 janvier 2008 on
  • SEPA Direct Debit: will be proposed by banks from early 2010 (after the Payment Services Directive’s transposition) ; “CMF” mandate flow (the creditor will have to handle the direct debit mandates)
  • SEPA card payments: the French banks will start from 2008 on to implement the EPC "interoperability framework for payment cards" principles; three-party schemes will have the choice to apply these principles on a voluntary basis

The “télérèglement” will be maintained as a national payment instrument

  • No current SEPA instrument presenting equivalent functionalities
  • Possible solution: EPC work underway on a "B2B" SEPA Direct Debit; the study will be launched once the rules are adopted

The “TIP” will be maintained as a national payment instrument

  • No current SEPA instrument presenting equivalent functionalities
  • Possible further work in the mid-term with other countries

Cheques, e-money and "specific" credit transfers will be maintained

  • Outside of SEPA scope

The payment instruments of the "basic banking services" provided as part of the right to access to banking services will migrate to European instruments

  • The basic banking services include payments by direct debit, "TIP" or credit transfer, and a payment card whose each utilisation is authorized by the issuing credit institution
  • The geographical scope in which this payment instruments can be used is not defined by the regulation
  • The basic banking services’ users must have the same level of service than all the French users
  • The payment instruments of the basic banking services may be used within the entire SEPA area

Geographical scope

  • The French metropolitan territory and overseas departments are in the SEPA area
  • Mayotte and Saint-Pierre et Miquelon are part of the Euro zone and should be integrated in the SEPA area (to be ratified by the EPC)
  • Other overseas collectivities are outside of SEPA scope
  • Additional studies are undertaken on the integration into the SEPA area of the Principalty of Monaco (Euro zone)

Implementation progress

  • Monitored by the National Committee
  • Coexistence of old and new payment instruments
  • Phasing out of national payment instruments when the SEPA instruments will reach a critical mass (i.e. more than 75% of transactions and 50% of payers)
  • Confirmation of the previsional timetable (phasing out of the French credit transfer at the end of 2011, phasing out of the French direct debit at the end of 2012, depending on the effective use of SEPA instruments)

Modalities of migration

  • Accompanying measures for the migration:
  • continuity of current direct debit authorisations (no need to sign new mandates)
  • help for the switchover from RIB to IBAN and BIC and the updating of databases
  • information on the contestation possibilities within the SEPA Direct Debit scheme

Communication

  • Need to inform all the stakeholders: to develop the users' knowledge on SEPA instruments and facilitate their adoption, to give a good visibility on each milestone of the project
  • Communication actions of the SEPA National Committee:
  • Creation of an Internet website (www.sepafrance.fr): reference source of information and communication
  • Organisation of a conference on 14 November 2007 to mobilise all stakeholders and sensibilise decision-makers
  • Project of leaflet on the SEPA Credit Transfer
  • Coordination of the communication actions of all stakeholders

Expectations of the French community

  • Timely and harmonised transposition of the Payment Services Directive
  • Need for coordination on technical work, communication and simultaneous launch
  • Lifting of uncertainties on the SCF and the economic conditions of the SEPA project by the European competition authorities
  • Coherence of the offer of service in the different countries (to avoid recreating national specificities)