Processing European Direct Debit Payments

Overview: European Direct Debit is a payment method in which a customer can pay for a purchase directly out of his or her bank account. The customer gives permission to directly debit the designated bank account when collecting payment. European direct debit does not perform authorization to hold funds; instead, during order entry the customer must provide the bank account number, and based on the billing country code, the bank sort code and RIB code. When the order ships, the system informs the bank to debit the customer’s account and move the funds to the appropriate bank account. When a return is processed, the system informs the bank to credit the customer’s account and move the funds to the customer’s bank account.

Supported integrations: European direct debit pay types are processed by the Chase Paymentech Orbital Gateway Integration.

European Direct Debit Processing

During Order Entry: When you add a European Direct Debit pay type to an order, the system:

• validates that the country code on the bill to address (sold to address if a bill to is not defined) is a valid country for the pay type. An error message displays if the bill to/sold to country is not valid for the European Direct Debit pay type: Sold To Country not valid for European Direct Debit pay type.

• displays the Enter Direct Debit For Window (Direct Bank Disbursement Payment Type). At this window, enter the customer’s bank account number and, based on the billing country code, the bank sort code and RIB code.

For data security, the system stores the bank account number in the Credit card number field. The bank sort code and RIB code are stored in the OPM Future use code 1 and OPM Future use code 2 fields in the Order Payment Method file.

During Authorizations: During authorization processing (online or batch), the system generates the Authorization Request XML Message (CWAuthorizationRequest) to send the bank account information to the service bureau. The system sends the bank account number in the ccAccountNumber attribute, the bank sort code in the bankSort attribute, and the RIB code in the ribCode attribute.

The service bureau authorizes the European Direct Debit payment against the funds in the customer’s bank account.

During Deposits: During settlement, the system generates the Deposit Request XML Message (CWDepositRequest) to send to the service bureau to withdraw funds from the customer’s bank account. The system sends the bank account number in the ccAccountNumber attribute, the bank sort code in the bankSort attribute, and the RIB code in the ribCode attribute.

Returns: If you process a return against the European Direct Debit pay type, the system creates a credit invoice for the refund amount. When you process settlement for the credit invoice, the system generates a deposit request for the amount the bank will refund the customer’s bank account.

European Direct Debit Processing with Chase Paymentech Orbital Gateway

The system processes the following types of transactions for a European Direct Debit payment with the Chase Paymentech Orbital Gateway Integration:

• Tokenization > Profile Process: to replace the bank account number with a token.

• Online Authorization > New Order Authorization Process: to authorize the European Direct Debit payment against the funds in the customer’s bank account.

• Batch Authorization > New Order Authorization Process: to authorize the European Direct Debit payment against the funds in the customer’s bank account.

• Deposit > New Order Authorization and Mark For Capture Process: to authorize the European Direct Debit payment, withdraw funds from the customer’s bank account, and mark it for capture.

• Deposit > End Of Day Process to settle the European Direct Debit payment that was previously marked for capture.

• Deposit > New Order Refund Process to settle a credit transaction and refund the customer’s bank account.

European Direct Debit Setup

Setup required for European Direct Debit processing includes:

• completing the setup required for the Chase Paymentech Orbital Gateway Integration; see Orbital Gateway Integration Configuration and Setup.

• creating a European Direct Debit pay type in Working with Pay Types (WPAY). When creating this pay type, take note of these settings:

• Pay category: enter 2 (credit card) as the pay category

• Card type: enter E (European Direct Debit) as the card type

• Authorization service: enter ORB (Orbital Gateway) as the authorization service

• Deposit service: enter ORB (Orbital Gateway) as the deposit service

• Reauthorization days: enter 999.

• use the Work with Pay Type Countries Screen to define which countries for the bill to address on an order are valid for this pay type, and whether the country requires a bank sort code and/or RIB code.

• use the Credit Card Number Format screen to mask the bank account number that is stored in the Credit card number field.