Overview

Starting in October 2025, payment service providers (PSPs) in the eurozone will be obliged to provide a Verification of Payee (VOP) service to their customers for SEPA Credit Transfers and Instant Credit Transfers.

FPAD will provide Verification of Payee at a pan-European level to STEP2 and RT1 Participants. FPAD’s Verification of Payee will be live from December 2024. It supports PSPs to meet the requirements of the Instant Payments Regulation and will be compliant with the EPC VOP Scheme.

FPAD already offers IBAN/name matching checks today based on a repository of account holder names derived from transaction data. These checks are performed simultaneously with other fraud detection and anomaly checks. 

From December 2024 onwards, FPAD will be complemented with Verification of Payee. PSPs will have different options to leverage the comprehensive Verification of Payee capabilities of FPAD, both on the requesting and the responding sides. This will allow PSPs to adapt their VOP approaches over time, whilst ensuring full pan-European reach from the start. Using the FPAD functionality for VOP also enables PSPs to address risk considerations and limit friction for end users, in addition to fulfilling compliance requirements.

All specifications for VOP are available via the customer portal. EBA CLEARING is supporting RT1 and STEP2 Participants to get ready to onboard Verification of Payee and prepare for regulatory compliance.

Please contact your country representative if you are a participant and want to learn more.