SEPA (Single Euro Payments Area) is a project managed by the European Commission, the European Central Bank and the European Payment Council which seeks to create one system for financial conversions in Europe. The most important innovation was the implementation of the payment format ISO 20022 XML in the beginning of 2008. Basically, this means all local bank account numbers and local bank identification codes were replaced by SEPA international bank account numbers (IBAN) and SEPA bank identification number (BIC). Nearly all European countries have joined the SEPA project – a complete list can be found here.
What does the SEPA file do?
The SEPA file contains all the data needed to process a financial conversion within the countries that participate in the SEPA project. Most commercial banks offer an import feature for files in this format. Please note the SEPA file you download from the system contains all payment entries you have confirmed. In other words, you can process all your payments in go.