Online payment system operator iDEAL, which has a strong user base in its home Netherlands market, said it is ready for the single euro payments area (SEPA) after all of the Dutch banks that offer iDEAL recently completed the migration process, making the entire system SEPA-compliant.
The group said the compliance milestone marks an important step towards a uniform European payment infrastructure. “The SEPA regulation obliges all banks and users of payment services to meet the European payment standards by 1 February 2014 at the latest. With the migration of the system iDEAL has already fulfilled this requirement, making it easier for foreign providers to connect to iDEAL,” it added in a statement.
Up until now the iDEAL system was based on transfers between Dutch bank account numbers, meaning a bank or payment institution had to be connected to the Dutch payment infrastructure. This is no longer necessary as the introduction of the SEPA standards has created a European infrastructure in which domestic and foreign transfers take place in the same way. This enables foreign providers to participate more easily in the automated iDEAL payment process.
The group added that over the coming months, web shops and other organisations that accept iDEAL as a method of payment should adapt their systems, and have until 1 August 2013 to implement these adjustments.