Deutsche Bank and Logica Partner on Plug and Play SEPA Connector
Deutsche Bank’s Global Transaction Banking (GTB) division and Logica have announced a strategic alliance to launch an outsourced solution for SEPA Direct Debits (SDD). Powered by Logica’s All Payments Solution (LAPS), Deutsche Bank will combine a new SEPA Connector offering with its existing SEPA processing solutions to provide its financial institution clients with low cost ‘plug and play’ SEPA functionality. The SEPA Connector will initially be targeted at debtor banks requiring a solution for complying with mandatory SDD reachability requirements in readiness for the November 2010 deadline, but also supports SEPA Credit Transfers (SCT). The combined offering is available now.
The introduction of the SDD scheme, alongside the Payments Services Directive (PSD), presents significant business and technology challenges for banks, The SEPA Connector is an off-the-shelf product designed to address these challenges. Additionally, this model provides a roadmap for banks to either move to a broader partnering or outsourced service for payments processing with Deutsche Bank and Logica, or establish their own payments infrastructure upgrade using LAPS.
In the first phase of this partnership, the SEPA Connector will enable debtor banks to view SDD transactions, manage rejects and returns, as well as upload files for further validation and processing. Deutsche Bank will also provide connectivity to EBA Clearing and its bilateral partners.
Deutsche Bank already uses Logica’s payments hub to support its operations in 15 countries, which further enables rollout of the SEPA Connector to the bank’s financial institution clients.