SEPA stands for the Single Euro Payments Area. It's the framework that makes sending euros across Europe as simple as a domestic payment, same speed, same rules, and generally the same low cost, regardless of which participating country the money starts or ends up in.

What is SEPA?

SEPA is a payment integration initiative created by the European Union, covering 36 countries: all 27 EU member states, plus EFTA countries (Iceland, Norway, Liechtenstein, and Switzerland), and several additional participants including the UK, Monaco, San Marino, Andorra, and Vatican City State.

Before SEPA, sending money between European countries involved different standards, higher fees, and slower processing times for each country pair. SEPA unified those rules so that a euro transfer from Amsterdam to Madrid is treated the same way as one from Amsterdam to Rotterdam.

How SEPA benefits you

Being inside the SEPA zone means your euro payments across participating countries are:

• Processed under the same standardized rules, so there are no surprises at the border

• Typically free or very low cost compared to traditional international wire transfers

• Eligible for Instant Payments, which can arrive within seconds using the SEPA Instant Credit Transfer scheme

• Accessible with just an IBAN, no BIC/SWIFT code required for most transfers

SEPA vs. SWIFT

SEPA and SWIFT are often mentioned together, but they serve different purposes. SEPA is a geographic and regulatory framework for euro payments within specific European countries. SWIFT is a global messaging network used for international transfers worldwide, including countries outside Europe and currencies other than euros.

For day-to-day payments within Europe, SEPA is faster and cheaper. When you need to send money outside the SEPA zone, to the US, Asia, or elsewhere, a SWIFT transfer is usually the right route.

Common questions

Is the UK still part of SEPA after Brexit?

Yes. Despite leaving the EU, the UK remains a SEPA member and can still send and receive SEPA payments. That said, individual banks may handle some cross-border transfers differently, so it's worth confirming with your bank for specific situations.

Do I need a special account to send SEPA payments?

Any bank account with an IBAN in a SEPA country can send and receive SEPA payments. With bunq, your Bank Account comes with a SEPA-compatible IBAN from day one, and you can add Local IBANs for other supported European countries.

Does SEPA cover non-euro currencies?

No. SEPA is specifically for euro payments. For payments in British pounds, Swiss francs, or other currencies, even within SEPA countries, you'll need a different transfer method, such as a SWIFT transfer or a dedicated foreign currency account.