Dynamic Mandate Management

A Direct Debit Instruction (DDI), commonly known as a Direct Debit Mandate, is an authorization given by the customer that allows collecting payments their account. This mandate must be in place before a collection can be initiated. In this mandate, the debtor confirms by signature that another party, for example a merchant, is authorised to debit his account.

Although the details differ slightly depending on the payment system, a direct debit mandate generally includes the following:

• Authorisation to collect all future payments from the customer, regardless of amount, timing or frequency.
• The obligation to inform the customer of each payment before it is collected.
• Protection of the customer against payments collected in error.

To create a direct debit mandate, the customer must fill out a DDI form and confirm their agreement by signing it. In general, there are three ways to do this:

• Online
  Online mandates allow customers to enter their details through bank-approved web portals. These mandates are typically categorized based on the method used by customers to authorize the mandate:

  • Click Mandate: The customer approves the mandate by checking a box and/or clicking an approval button on the website.
  • TAN Mandate: The customer approves the mandate by entering a Transaction Authentication Number (TAN) on the website. The customer provides their signature by entering the TAN on a checkout page or clicking the provided link.
  • AIS Mandate: When creating an AIS mandate, the customer gives consent to the disclosure of his account information by logging into his bank account and therefore signing the mandate.
  • Dynamic Mandate: A dynamic mandate is essentially a procedure where the mandate type is decided by us based on configured parameters.

• By telephone
  The customer's bank information is collected through a phone call using a script approved by the bank.

• By paper
  Customer data is collected by handing out a form which the customer fills in and returns to you. The form and content of paper direct debit forms must comply with the strict regulations of the relevant Direct Debit procedure; therefore, your bank must first approve the form before it can be used for this procedure.
  You should retain returned paper direct debit forms as proof that your customer authorized a payment.

Note: Regardless of who manages a mandate, a mandate entity must always be created via us. Please note that depending on various factors, such as the payment used scheme, your vertical or the bank in charge, not all options may be available.

In the following you can find diagrams which represent typical workflows of creating different types of mandates.

Click Mandate

Email Mandate

SMS Mandate

AIS Mandate

To create an AIS mandate:

1. Set the approvalBy parameter to ais in your request
2. This will return a hostedPageId in the response
3. Send this hostedPageId, together with a success and fail URL, to the view hosted pages endpoint. By doing so, we are able to redirect the customer back the preconfigured successURL or failURL after finishing the payment process.

For more details on working with hosted pages, see our hosted pages documentation and the hosted pages API reference.

Paper Mandate

Telephone Mandate

Mandate delivery options

We offers the following range of services, which are used to provide scheme compliant mandates and pre-notifications to the customers:

• Generating documents according to the scheme rules and customized layouts mentioned below:
  • Mandate (pdf)
  • Mandate Setup Confirmation (HTML)
  • Payment Pre-Notification (HTML)
• Archiving the generated documents according to the scheme rules
• Sending the documents via email to the customer