Process flow of guaranteed direct debit:
– The customer issues a direct debit mandate with his signature. (digital or on paper).
– The risk engine runs on the basis of the credit scoring data and the transaction history data of the card used.
– The direct debit provider initiates a pull-transaction from the issuer for the settlement and transfers the funds to the merchant.
– If the risk assessment fails, the national scheme (with chip and PIN) is used as a fallback.