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E-banking solution and introduction of SEPA

Written by Alexander Kutilov on . Posted in Exact Globe

Cash flow management is one of the critical components of running a business. Cash flow management focuses on the direct incoming  and outgoing ‘bank’  channels, and this process is influenced by the terms of payment for clients/suppliers and your staff that determine when bills and salaries are paid.

The electronic banking within Cash flow management assists Exact customers to achieve the required efficiency level in generating domestic and international payment orders and cash collections. This functionality supports appropriate and easy allocation as well as reconciliation of cash flow transactions based on the intraday electronic bank statements.

Exact Globe supports numerous electronic banking formats, including formats for domestic and international payments, domestic collection orders and bank statements for multiple banks in many countries. Basically, Exact Globe has one application per country that includes a built-in logic for every locally supported bank.  With the current solution each named bank should be associated with its own electronic formats.  This solution does not take into consideration “shared“ electronic banking formats from different banks (even in the same country). The number of the supported banks relative to the number of supported electronic formats is increasing with every product update of Exact Globe.

In order to deal more efficiently with this increasing amount of individual electronic banking formats, the European Commission and the European Central Bank have come up with the initiative of Single Euro Payment Area (SEPA) to create a single integrated payments environment for the Euro Region. SEPA is a single integrated payments environment for all countries within the European Union as well as Iceland, Liechtenstein, Norway and Switzerland, which covers the entire euro area from a single euro payment account. There will no longer be a difference between the banks regarding ease of use, speed, safety and costs, as well as whether a euro payment is domestic or international.

Until recently, the IBAN and BIC were used only for cross-border payments in euro. Under SEPA, they will be used for processing European credit transfers and European direct debits, whether domestic or international.

In 2008 the first phase of SEPA has been introduced. This phase includes the electronic bank payment files as a part of the SCT (SEPA Credit Transfer) implementation. Banks in the countries participants actively promote the new payment method.

Exact Globe electronic banking functionality supports this standard in all EU countries, as well as in Iceland, Liechtenstein, Norway and Switzerland.

The upcoming SEPA phases are:

•        CAMT:- CAsh ManagemenT – The generic bank statements created by bank.

•        SDD: SEPA Direct Debits – Companies may use this direct debit to collect payments from customers in nearly all of Europe having a single bank account only. The SEPA direct debit is identical to the current domestic direct debit where a customer issues a mandate to a business party for having their account debited.

•        SCF: SEPA Cards Framework – Any SEPA compliant card (both debit and credit) can be used anywhere in the Eurozone (subject to brand acceptance by the merchant);

In the coming years these SEPA phases will significantly affect the handling of electronic banking formats by the European banks.

Please follow our further publications regarding Cash flow management developments and SEPA implementations on the Exact Product Blog

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Comments (3)

  • Dave


    Last year Exact made some customized software for us to make it possible to use SEPA in Finland. Can you please add this customized software to the standard software. This is already a request for a year, but so far as I know it is not accepted in the standard yet.

    This will be a good start I should say


  • Alexander


    @Dave. Currently Exact Globe supports SEPA Direct Credit Transfer (DCT) as well as SEPA Direct Debit (SDD) . For more information see my blog http://blogs.exact.com/products/2011/01/sepa-direct-debit-is-supported-in-exact-globe-2/

    In principle the implemented SEPA Direct Credit Transfer in the standard Exact Globe satisfies general requirements and fits general SEPA guidelines. Therefore, the way Exact Globe support SEPA DCT should be generally accepted by banks in Europe.

    We know, however, that in some countries or even in some banks these general guidelines are subject to certain amendments, which satisfy specific country/bank needs. Moreover, currently two SEPA PAIN formats can be supported. This is the reason why the standard Exact Globe SEPA functionality was tuned based upon some additional country/banks requirements.

    To be honest I have never heard of any specific Finish SEPA requirements, neither of any customization in this functional area of Globe. It would be rather interesting to get some more details regarding this topic. Could you please contact me at alexander.kutilov@exact.com?


  • Dave


    @ Alexander. I don’t think that Finland has his own requirements, but it was not possible in Globe to use SEPA for the Finnish Nordea bank. This is created for us (35.154.703 – Development Request – Realization Nordea Bank voor Finland) and the request is to at this to the standard software. Can you give answer on the question if this is scheduled in the planning?


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