Verification of Payee (VoP)

Building confidence in every payment: What verification of payee means for businesses and consumers

In October 2025, Verification of Payee (VoP) will become an important step in strengthening payment security. This new measure ensures that your payments reach the correct beneficiary, with the objective of reducing fraud and increasing trust.

What is VoP?

VoP is a service provided by banks and Payment Service Providers (PSPs) to verify the name of the beneficiary before a payment is executed. The goal is simple: to prevent funds from being sent to the wrong account and minimize the risk of fraud.

• VoP checks the recipient’s name against the account number before the transaction is approved.
• The check takes place between the payer’s bank and the payee’s bank.
• Possible outcomes of the check include:
  • Match – the name matches exactly.
  • Close Match – there is a small discrepancy.
  • No Match – the name does not match.
  • Unavailable – the check could not be performed.
• Feedback is provided within seconds, allowing the payer to decide how to proceed.

Role of banks and PSPs

According to the EPC VoP Rulebook, banks and PSPs are interconnected:

• The payer’s bank or PSP provides the VoP service.
• The payee’s bank or PSP responds to VoP requests.
• Payments are verified before authorization.

For batch payments, this may have different implications:

• Most banks/PSPs process batches directly but offer a pre-payment VoP check.
• Some banks/PSPs require clients to explicitly opt out of VoP notifications.

What does this mean for your organization?

If your organization processes payments, you will need to make two key decisions:

1. Batch payments: will you opt in or opt out of VoP?
2. Handling VoP results, especially for Close Match, No Match, or Unavailable outcomes.

Please note: VoP helps reduce errors and fraud but does not offer an absolute guarantee.

Would you like to know what practical steps your Treasury can take to prepare for VoP? Get in touch with us: