Europeans still face the problem of rejected IBAN numbers

Despite years of efforts and applicable legislation, the European Consumer Centres Network (ECC-Net) warns that discrimination based on IBAN numbers remains a widespread problem in the European Union. This refers to cases where companies or public institutions refuse to accept payments or direct debits from consumers whose bank account is not held in the same country as the service provider. Such practices are contrary to the principles of the single European market.

Legal framework and challenges in practice

European legislation, in particular the SEPA Regulation (Regulation 260/2012/EU) and the Geo-blocking Regulation (Regulation 2018/302/EU), clearly stipulate that service providers must not discriminate against consumers based on the country in which their bank account is held. The Payment Accounts Directive (Directive 2014/92/EU) also allows EU residents to open a bank account freely in any Member State. Nevertheless, many companies still insist on "domestic" accounts, citing technical barriers or the need to prevent fraud as justification.

Scope of the issue

Between 2021 and 2025, the Accept my IBAN initiative documented more than 4,600 consumer complaints, with the highest number of cases recorded in France, Germany, Spain and Italy. Most rejections concerned accounts from Lithuania, Belgium and Germany. In terms of sectors, financial services and telecommunications top the list, followed by the public sector, e-commerce and insurance.

The examples of discrimination vary widely, ranging from the rejected purchases of motorway vignettes and train tickets to difficulties with payments for telecommunications and utility services, the refusal of airline ticket refunds and even the denial of school meal payments.

Measures by the authorities

National authorities in some countries have already imposed penalties. For example, the Italian Competition Authority has fined several telecommunications operators. Germany has set up a dedicated service for reporting IBAN discrimination and has recorded annual increases in complaints of up to 30% as a result. France has even incorporated the prohibition of IBAN discrimination into its national legislation.

Call for action

The ECC-Net warns that, although the legislation is in place, it is not being enforced adequately. It therefore calls on national authorities and EU institutions to enforce the regulations rigorously and apply effective sanctions. Only through such action can the core principle of the internal market – non-discriminatory access of consumers to services and payments – be fully realised.

Source: https://www.eccnet.eu/

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