4.5. Obligations on the payer’s PSP, payee’s PSP and IPSPs where a transfer is a direct debit

Where a transfer of funds is a direct debit, the payee’s PSP should send the required infor-mation on the payer and on the payee to the payer’s PSP as part of the direct debit collection. Upon receipt of this information by the payer’s PSP, the payee’s PSP and IPSP should consider the information requirements in Article 4, points (2) and (4), and Article 5, points (1) and (2), of Regulation (EU) 2023/1113 to be met.

For the purpose of paragraph 91:

• a) the obligations set out in Articles 4, 5 and 6 of Regulation (EU) 2023/1113 should be applied to the payee’s PSP;
• b) verification in Article 4(4) of Regulation (EU) 2023/1113 should be carried out by the payee’s PSP on the information of the payee, before sending the direct debit collection;
• c) the obligations set out in Articles 7, 8 and 9 of Regulation (EU) 2023/1113 should be applied to the payer’s PSP (debtor PSP);
• d) verification in Article 7(3) and (4) of Regulation (EU) 2023/1113 should be carried out by the payer’s PSP (debtor PSP) on the information of the payer before debiting the payer’s account.

Where the payer’s PSP becomes aware, when receiving the direct debit collections, that the information referred to in Articles 4, 5 and 6 of Regulation (EU) 2023/1113 is missing or incom-plete or has not been filled in using characters or inputs admissible in accordance with the conventions of the messaging or payment and settlement system as referred to in Article 7(1) of that Regulation, the options set out in Article 8(1), second subparagraph, of that Regulation should be applied by the payer’s PSP. The p ayer’s PSP should choose to ask for the required information on the payer and the payee before or after debiting the payer's account, in a risk-based approach. In particular, it should assess whether the payment should still be credited where information is missing or whether funds should be made available to the payee relying on information obtained from the payer and verified as part of the customer's due diligence process, in accordance with Section 4.4.

The payer’s PSP should leverage available communication channels to engage with any repeat-edly failing payee’s PSP prior to taking further actions to restrict or reject payments. Where PSPs rely on information obtained prior to the transactions, their policies and procedures should take into consideration possible changes to information across time, in particular in-cluding name and address.