European Payments

Yapily's knowledge article about European Payments

When making payments involving an account from an Institution in Europe, it is advisable to consider the following article in order to determine whether the type should be DOMESTIC_PAYMENT or INTERNATIONAL_PAYMENT. If any one of these conditions are met, the type will be DOMESTIC_PAYMENT.

  • Both the Payee and Payer accounts are in the same country (and the payment is in a local currency)
  • Both the Payee and Payer accounts are from SEPA member countries and the payment is in Euros

SEPA Members

SEPA consists of the 28 countries with the four members of the European Free Trade Association (Iceland, Liechtenstein, Norway and Switzerland) and Monaco and San Marino. SEPA payments are only used for euro-denominated transactions. For this reason, the percentage of customers reachable by SEPA payments varies on a country-by-country basis.

Eurozone countries

Payments can be made through Yapily's payments API between all of these Eurozone countries using the paymentType of DOMESTIC_PAYMENT through the SEPA payment schemes providing the currency used is Euros:

  • Austria
  • Belgium
  • Cyprus
  • Estonia
  • Finland (including Aland Islands)
  • France (including French Guiana, Guadeloupe, Martinique, Mayotte, Saint Barthélemy, Saint Martin (French part), Réunion and Saint Pierre and Miquelon)
  • Germany
  • Greece
  • Ireland
  • Italy
  • Latvia
  • Lithuania
  • Luxembourg
  • Malta
  • Monaco (Monaco and San Marino have bilateral agreements with the EU to use the euro as their official currency)
  • Netherlands
  • Portugal (including Azores and Madeira)
  • San Marino (Monaco and San Marino have bilateral agreements with the EU to use the euro as their official currency)
  • Slovakia
  • Slovenia
  • Spain (including Canary Islands and Ceuta en Melilla)

Non-Eurozone countries

Payments can be made through Yapily's payments API from non-Eurozone countries using the type of DOMESTIC_PAYMENT through the SEPA payment schemes if the account is euro-denominated. For payments made in the local currency, the appropriate national schemes will be used:

  • Bulgaria
  • Croatia
  • Czech Republic
  • Denmark
  • Hungary
  • Iceland
  • Liechtenstein
  • Norway
  • Poland
  • Romania
  • Sweden
  • Switzerland
  • United Kingdom (including Gibraltar).

SEPA vs. SEPA Instant payments

SEPA also has a SEPA Instant variant which allows payments to be expedited. An Institution may decide to charge the customer for SEPA Instant payments and if not stated otherwise, the Institution can default to using SEPA Instant variant over SEPA. So far, we have observed that each Institution in the list below charges for SEPA Instant:

  • Commerzbank
  • ING Bank

In order to give the customer the ability to determine whether they wish to use SEPA Instant, we have added the ability to choose between SEPA and SEPA Instant. Any Institution that has the feature DOMESTIC_INSTANT_PAYMENT supports SEPA instant payments. To find out whether this is supported by the Institution, check GET Institution or GET All Institutions and verify that this feature is present in the payload within the features array. When creating a payment that is eligible for SEPA, you can use DOMESTIC_INSTANT_PAYMENT in order to use SEPA Instant over DOMESTIC_PAYMENT.

What are the different use cases when SEPA can not be used?

  • Scenario 1: The payee is a SEPA member but the payer is not SEPA member As both Payer and Payee are not SEPA members, the payment is not eligible for SEPA. The Payer and Payee are not in the same country so to execute the payment you need to use INTERNATIONAL_PAYMENT as the type. The country specific international payment rail will be applied.

  • Scenario 2: The payer is a SEPA member but the payee is not SEPA member As both Payer and Payee are not SEPA members, the payment is not eligible for SEPA. The Payer and Payee are not in the same country so to execute the payment you need to use INTERNATIONAL_PAYMENT as the type. The Cross Border rail will be applied.

  • Scenario 3: Both the payee and payer are not SEPA members but are in the same country As both Payer and Payee are not SEPA members, the payment is not eligible for SEPA. The Payer and Payee are in the same country so to execute the payment you need to use DOMESTIC_PAYMENT as the type. The payment rail supported by the country's domestic payment system will apply e.g. FPS in the UK.

  • Scenario 4: Both the payee and payer are not SEPA members and are in different countries As both Payer and Payee are not SEPA members, the payment is not eligible for SEPA. The Payer and Payee are not in the same country so to execute the payment you need to use INTERNATIONAL_PAYMENT as the type. Any international payment rail will be applied e.g. SWIFT or Cross Border.