myTU Integrates SEPA Direct Debit to Transform European Business Payments

Introduction

myTU, the AI-native, cloud-first digital banking platform, has announced the integration of SEPA Direct Debit into its payment offering—enabling businesses across the European Union to automate billing, improve cash flow, and simplify payment collection,

The move positions myTU as a stronger contender in the business payments space by providing a low-friction alternative to traditional card-based billing and manual collections. SEPA Direct Debit allows companies to collect funds directly from customer bank accounts via a signed mandate under the SEPA CORE scheme—reducing failed transactions, lowering costs, and enhancing reliability

What SEPA Direct Debit Means for Businesses

SEPA (Single Euro Payments Area) Direct Debit is a widely used European payment method that lets companies pull payments from a payer’s bank account, provided a mandate is in place. This approach is particularly powerful for:

• Recurring billing such as subscriptions
• One-off payments tied to utilities, insurance, or loan plans
• Lowering reliance on card payments, which can suffer from expiration or failed charges

With myTU’s integration:

• Businesses gain full API-based control over the SEPA Direct Debit lifecycle—including creating, storing, updating, and removing mandates
• Automated collections reduce administrative burden and late or missed payments
• Structured callbacks and real-time events support reconciliation with accounting and ERP systems
• Verification of Payee (VOP) improves accuracy and reduces setup errors
• Lower processing costs compared to card transactions help businesses preserve margins

The addition strengthens myTU’s existing stack, which already includes instant pay-ins and payouts, card issuing and acquiring, and digital onboarding—creating an end-to-end payment solution for modern, API-first businesses.

Why This Matters in the European Fintech Landscape

Today’s digital economy demands payment methods that are efficient, secure, and frictionless. SEPA Direct Debit has become essential for European businesses, especially those operating subscription models or handling high volume transactions. Its integration into myTU’s platform signals a broader trend: fintech companies are embedding versatile payment capabilities to support complex business models without the overhead of legacy systems.

Compared to cards, direct debits are often cheaper and more stable for ongoing billing relationships, because:

• Card networks come with higher fees and token churn
• SEPA direct debit mandates remain valid longer
• Scheduled collections help avoid missed payments
• Automated reconciliation reduces manual intervention

This makes the solution particularly attractive for sectors such as telecom, education, utilities, insurance, lending, and mobility, all of which rely on predictable, recurring revenue streams.

CEO Vision: Redefining Business Billing

Raman Korneu, CEO and co-founder of myTU, underscored the strategic importance of this feature, framing it as part of the company’s broader mission to reduce financial complexity for businesses. According to Korneu, the new infrastructure turns cumbersome billing workflows into “practically invisible” financial operations—giving companies more control while lowering the cognitive and technical load required to manage payments.

In a business environment where automation, reliability, and cost-efficiency are key competitive factors, enabling companies to manage the full payment lifecycle—without stitching together multiple providers—can be a differentiator.

Comparisons and Broader Industry Context

myTU’s SEPA Direct Debit integration places it squarely alongside other European fintech and payments providers expanding direct debit capabilities. For example, digital banking solutions like FINOM also offer SEPA Direct Debit Core and SEPA B2B options, serving SMEs and entrepreneurs with broader payment needs.

While different providers vary in features and target segments, the overall trend is clear: businesses across Europe are seeking unified payment rails that combine direct debit, instant credit transfers, reconciliation automation, and low-cost operations.

Benefits Beyond Billing

Beyond lowering payment friction, integrating SEPA Direct Debit into a platform like myTU also offers:

• Improved cash flow predictability
• Higher customer retention due to easier billing experiences
• Better financial planning through automated, scheduled collections
• Lower risk of failed transactions associated with card expiration or insufficient funds
• Enhanced integration with accounting systems for smoother financial operations

These advantages help businesses scale without proportionally increasing administrative overhead.

Conclusion

myTU’s integration of SEPA Direct Debit is both a strategic and practical enhancement to its European payments offering. By enabling automated billing, reducing payment friction, and broadening its programmable API capabilities, myTU is strengthening its position as a modern financial infrastructure provider for businesses.

As more companies prioritise automation, reliability, and cost control, direct debit solutions are poised to play a central role in enterprise payment strategies—particularly across subscription-driven and recurring revenue businesses.

The move signals a broader shift within fintech: payment platforms are evolving into comprehensive, programmable financial engines that support the full spectrum of revenue collection and cash-flow optimisation.

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