&1 payment orders cannot be used to create SEPA direct debits

What causes this issue?

The ordering party is being credited (transaction type of the payment
order is <ZK>Credit</>) and the payment method used is <ZK>According to
SEPA</>.
Therefore, the system identifies this payment order as a SEPA direct
debit order (SDD). You can create an SDD from the following
transactions:
Create External Payment Order
Create Foreign Payment Order
You cannot create an SDD with an internal payment order, or backdate an
SDD.

System Response

The system does not allow you to create an SDD.

How to fix this error?

Use one of the transactions listed above to create an SDD.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.