The ‘International Bank Account Number (IBAN) only’ rule introduced on the basis of Article 5 (7) of the European Union (EU) ‘Regulation (EU) No 260/2012 establishing technical and business requirements for credit transfers and direct debits in euro’ adopted by the EU legislator in February 2012 prohibits payment service providers () to require that payment service users () provide the Business Identifier Code (BIC). Article 5 (7) states: “After 1 February 2014 for national payment transactions and after 1 February 2016 for cross-border payment transactions, shall not require to indicate the BIC of the of a payer or of the of a payee.”
however, will have to continue to indicate the BIC of the account to be debited or credited when processing a Single Euro Payments Area () payment transaction in the interbank space. A survey carried out by the European Payments Council () at the end of 2012 indicated that no mature solution seemed to be in place which allows deriving the BIC from the IBAN with regard to cross-border transactions. need as close as possible to 100 percent reliability when determining the of the receiver in order to ensure timely and proper execution of the payment instruction.
The intends to host a workshop on 24 September 2013 in Brussels to initiate a dialogue on the minimum requirements for cross-border ‘BIC from IBAN derivation’ solutions. The event will be open to any interested party. The confirmation of the workshop will be subject to sufficient interest being expressed by both the demand and the supply sides in to jointly work on the minimum requirements for any reliable cross-border ‘BIC from IBAN derivation’ solutions.
Organisations interested to contribute to the minimum requirements for cross-border ‘BIC from IBAN derivation’ solutions are invited to confirm their participation in the workshop proposed to be hosted on 24 September 2013 by e-mailing IBANfirstname.lastname@example.org by 9 August 2013. For logistical reasons, the number of participants will be restricted to one representative per organisation. Subject to confirmation of the workshop, the will communicate details on the venue and other organisational details in due course.
Any party interested in participating in the workshop is invited to share suggestions for specific aspects to be discussed at the workshop by emailing IBANemail@example.com.
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