Version
v3.0

Guidance on reason codes for SEPA Credit Transfer R-transactions

The released the version 3.0 of the document ‘Guidance on Reason Codes for R-transactions’. It applies to the current applicable 2021 Single Euro Payments Area ( ) Credit Transfer ( ) rulebook.

To give some background: one of the main benefits of the  scheme is that the scheme rules streamline exception handling, at both process and dataset level. This allows straight-through-processing and automated exception handling end-to-end. Possible exceptions to the normal execution of an   transaction include rejects, returns, recalls and requests for recall by the originator (commonly referenced as ‘R-transactions’ and described in detail in the   rulebook). 

The   rulebook specifies reasons which trigger an R-transaction or an   inquiry, i.e. data elements required to convey information to the payer (Originator) regarding the R-transaction or the   inquiry. These data elements identify the type of the R-transaction or the   inquiry; name the initiator; and detail the reason for the R-transaction or the   inquiry.

The correct application of these reason codes by a Beneficiary Payment Service Provider ( ) (the of the payee), informing an Originator (the of the payer), about a failed   transaction or an   inquiry is crucial to allow the Originator to determine its reaction. Therefore,   scheme participants must apply the specific   R-transaction or inquiry reason codes described in the rulebook when reporting a failed   transaction or an   inquiry.

Section 3 of the document provides guidance to   scheme participants about the reason codes to report specific   transaction issues.

The first change covered in the version 3.0 is the use of the term ‘ ’ throughout the document. As of the rulebook entering into force in November 2021, the term ‘Bank’ has been changed into ‘ ’.

This version also includes the amended timeline under the Recall procedure entering into force as of November 2021 whereby a Recall request bearing the reason ‘fraud’ can be sent up to 13 months after the debit date of the initial transaction. Finally, the new definition of the term ‘Banking Business Day’ from the 2021 rulebook has been added in the timeline diagram in section 1 of the document.

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