How to use the SEPA Purpose Code correctly

What is the SEPA Purpose Code?

The SEPA Purpose Code allows you to classify payments e.g. salary payments or capital building payments. The use of SEPA Purpose Codes is optional and gets defined on the collector's layer so that SEPA Purpose Codes apply to all SEPA transactions or SEPA direct debits of the collector.

SEPA Purpose Codes consist of 4 letters, for example:

  • SALA - Salary
  • DIVD - Dividend
  • BONUS - Bonus Payment
  • CBFF - Capital Building Payments

Payer, payees as well as credit institutions can detect Purpose Codes and process payments automatically. For example, account maintenance fees can be waived once a certain salary has been received.

Beside the SEPA Purpose Code, SEPA End-To-End-IDs can be used to automate the payment process further.

How to integrate SEPA Purpose Codes into your workflow

SEPA Purpose Codes come in handy to trace payments back. However, it's not necessary to remember the letter combinations yourself. Our tool SEPA-Transfer provides the most common SEPA Purpose Codes in an easy-to-access list. Just select the right Purpose Code.

In its Enterprise Edition, SEPA-Transfer supports the input of any Purpose Code you need. Select "Other Code" and specify your Purpose Code.

Try SEPA-Transfer for free

SEPA-Transfer lets you select the most common SEPA Purpose Codes from a list, quick and easy. See for yourself and get the SEPA-Transfer 30-days trial for free!