Odoo 18 Enterprise Book: Accounting

6. Direct Debit Mandates

The Direct Debit Mandate feature in Odoo 18 allows businesses to securely and efficiently collect recurring payments directly from their customers' bank accounts. This is particularly useful for subscription-based services or long-term contractual agreements. A mandate is an official document signed by the customer that authorizes your company to withdraw funds automatically. Odoo 18 integrates with the EURO SEPA Direct Debit (SDD) service, enabling businesses to manage these transactions seamlessly within the Accounting module.

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To get started, navigate to the Settings of the Accounting module and activate the SEPA Direct Debit option. After enabling this feature, you must enter your organization’s Creditor Identifier, which is essential for initiating SEPA transactions.

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Once activated, you can create a new mandate from the Customers menu.

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During configuration, specify the Customer and their IBAN, which is the account to be debited. You’ll also define the Journal that will track SEPA payments, the SDD Scheme being used (such as CORE or B2B), and other relevant details like the Mandate Identifier, Start Date, End Date, and Company. After completing the form, click the Validate button to activate the mandate. When a customer with a valid mandate is invoiced, Odoo will automatically generate a SEPA Direct Debit (SDD) XML file. This file can be submitted to your bank to initiate the payment collection process. The system also provides smart buttons within the mandate record to view Invoices Paid using this mandate and the Collections, offering a clear overview of all related transactions.

By automating recurring payment collections through SEPA mandates, Odoo 18 significantly enhances financial efficiency, reduces manual intervention, and ensures secure fund transfers for businesses operating within the SEPA region.

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