Important! Upcoming changes to SEPA Instant rules

In November 2024, the European Payments Council (EPC) published a new rulebook for SEPA Instant Credit Transfer (SCT Inst), which will come into effect on October 5, 2025. These changes, aligned with the new EU regulations on instant payments, will significantly impact the functioning of the payment system across Europe.

The new rulebook has been developed in accordance with the requirements of Regulation (EU) 2024/886, known as the Instant Payments Regulation (IPR), which amends the SEPA Regulation (260/2012).

The exceptional effective date of October 5, 2025—rather than the traditional November timeline—aims to synchronize with the start date of this key regulation. This ensures more effective harmonization of rules and implementation for payment service providers (PSPs), clearing and settlement mechanisms (CSMs), and technical service providers.

What will change?

Key Changes in the SCT Inst Rulebook 2025:

1.Change in Transaction Execution Time:

• The rulebook introduces new maximum time limits for the execution of instant payments. The transaction time has been reduced to 5 seconds (instead of the previous 10 seconds). After this period, payment service providers (PSPs) are required to inform the sender of the payment’s status, whether positive or negative.

2. Alignment with New Legal Definitions:

• New definitions have been introduced in the rulebook, such as “Payment Initiation Channel” and “Time of Receipt.”
• The rulebook also incorporates new provisions regarding PSP obligations, such as the need for verification of the payee (Verification of Payee – VOP) before processing a transaction.

3. Rules for Payment Recalls:

• The new rules allow only one recall request by the sender in the case of an instant payment. Once the PSP of the payee responds, the sender cannot submit another recall request for the same transaction.

4. Expansion of SEPA’s Geographic Scope:

• Revised criteria and an expansion of SEPA’s geographic coverage ensure greater accessibility to instant payments in non-European Economic Area (EEA) countries that meet relevant standards.

5. Change in Data Structure and Time Constraints:

• From November 22, 2026, all addresses in transaction data must be presented in hybrid or structured format. Unstructured address formats will no longer be accepted after this date.

6. Other Editorial and Clarifying Changes:

• The scheme-level maximum transaction limits have been removed, allowing greater flexibility for system participants.
• Additional clarifications were introduced, including those related to 24/7/365 service availability and PSP reporting obligations regarding payment statuses.

The EPC requires swift action!

It is worth noting that the implementation timeframe for the new rulebook is shorter than in previous update cycles. The EPC emphasizes that PSPs, clearing mechanisms, and technical service providers must act quickly to align their systems with the new regulatory requirements. The EPC also highlights the need for early preparation and collaboration among all participants in the payment system.

The new SCT Inst Rulebook 2025, which incorporates these key changes, has been available in full since November 2024. Transparency and harmonization of instant payment rules across Europe remain a priority, aiming to increase their adoption and accessibility.

Don’t wait until the last minute! Contact our office, for professional support in adjusting to the new regulatory requirements. Our specialists will be happy to help you realise a smooth implementation and avoid unnecessary complications.