GLOSSARY
SEPA (Single Euro Payments Area)
A eurozone payment integration allowing EUR transfers across 36 countries under standardized rules and pricing.
SEPA is a payment integration initiative enabling EUR-denominated credit transfers and direct debits across 36 European countries under uniform rules, formats, and pricing.
Why it matters
SEPA operates three core schemes managed by the European Payments Council: SCT for standard credit transfers settling in one business day, SCT Inst for real-time payments completing in under ten seconds, and SDD for direct debits. All use the IBAN format and ISO 20022 messaging.
For operators receiving EUR from European buyers, SEPA payments typically arrive faster and cheaper than SWIFT correspondent routing. If your buyer's bank participates in SEPA, you can expect D+1 settlement on SCT without intermediary fees eating into your receivable.