How does the SEPA direct debit protects the investor?
The consumer protection is provided by a European directive, which is applied in Belgium through the Law of April 19 2014 regarding payment services and credit.
Thanks to this legislation, the investor can, through his bank:
- Set limits regarding:
- The maximum amount per transaction
- The maximum frequency of debit during a period
- Mention the creditors that are allowed or not to debit their account.
- Forbid any direct debit from their account.
- Ask for an unconditional reimbursement after being debited, with a delay of 8 weeks once the debit has taken place.