How will the UK introduction of “Confirmation of Payee” affect ? I read on here complaints of having to use BIC as well as IBAN but in the UK it will shortly be compulsory to also enter the account name as well for transfers. A real time cross-check check to reduce fraud will have to be done.
Is this not optional? The article definitely seems to indicate that it is (as it mentions retail banks expect to take part). As such I’d prefer if Revolut doesn’t do this honestly.
UK to UK account it will be compulsory as the fraud of hacking email accounts and and sending out details of a “new account” for large amounts such as house purchase is rapidly increasing. It would only need to be done once for a reoccurring payment and I guess is impossible for overseas payments. Would just like to clarify their position.
Wasn’t that already standard that banks had to check incoming transfers for a match?
In the UK: Sort Code and Account Number will be checked but although Account Name is frequently required it is not routinely checked, only if a problem occurs.
Seems to be different depending on country. In Switzerland, receiving bank does check the name as well and reject payment if it does not match the account holders name.
No, because there are so many permutations, and account holders often don’t give (or even know) the precise name in which their account is officially held. For example:
- Mr John Smith
- John Smith
- J Smith
- Mr J Smith
- Mr J A Smith
- John A Smith