allpay are delighted to announce the launch of their Confirmation of Payee solution. Built inhouse, the technology will allow the Hereford based payment service provider’s 16,000 Banking Lite cardholders to benefit from the Open Banking ecosystem.
Customers have the option to link their allpay prepaid account to other banks, building societies and financial service providers. They can also utilise budgeting tool apps allowing them to view balances, make payments and share transaction data. As part of the wider financial inclusion initiative, customers can access credit and debt advice or financial advice making banking in general simpler, quicker, and more convenient.
As an additional fraud prevention measure, allpay are also introducing Confirmation of Payee (CoP) to its Prepaid service.
With APP fraud, now worth an estimated £500m, CoP will allow customers of participating Banks, Building Societies and Credit Unions to double-check, ahead of making a payment, that the account holder’s name matches the owner of the bank account number.
CoP checks will become an integral part of allpay’s service when making a payment on behalf of its cardholders and will be further introduced to allpay’s UK based contact centre which takes an estimated £1 million of payments each year. allpay have also developed a SaaS solution which will be available to eligible participants.
With the heart of allpay’s business built around its ability to create leading payments products in-house and deliver these without the reliance on partnerships or third-party providers, the Confirmation of Payee product will be used to support eligible participants.
Michelle Pacey, Managing Director of allpay Limited said: “In the ever-changing payments environment, it is important for allpay to be part of the journey that has seen financial institutions innovating alongside regulators and governing bodies. With an existing market leading payments solution that serves some of the most vulnerable in today’s society, being able to build our own technology without the reliance on third parties enables allpay to push the boundaries of what we can do as a business.
The introduction of Confirmation of Payee will give both clients and consumers enhanced security as well as an improved user experience offering the opportunity to make more informed decisions around their finances.”
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What is Confirmation of Payee?
Confirmation of Payee is a name checking service for UK-based payments which Pay.UK launched in 2020 and which has been successfully implemented by several UK banks, building societies and other payment service providers. The aim of the service is to reduce certain types of fraud as well as misdirected payments. Today, volumes of Confirmation of Payee requests are averaging more than one million per day.
Confirmation of Payee is a way of giving payers greater assurance that their payments are being routed to the intended recipient and therefore are not being accidentally or deliberately misdirected. It addresses certain types of authorised push payment fraud by providing a platform for PSPs to provide effective warnings to payers about the risks associated with progressing with a payment to an account where the name does not match.
About allpay Limited
We are the market leader of payment services within the UK public and social housing sector, providing our range of payment channels to more than 50% of UK local authorities and 90% of the UK's top 200 housing associations.
Established in 1994, we were built on the foundations of providing bill payment services - primarily to the public sector – and this year we will handle £8.5 billion serving over 4.5 million end customers.
With an aim to work with each of our clients to reduce costs, we have created a suite of modern payment systems that are both cost-effective and very convenient for the end consumer.
As part of our commitment to clients, we meet high standards of quality and security, achieving PCI DSS compliance alongside a comprehensive range of ISO certifications.
We are also committed to managing our growth responsibly to continue to make a positive contribution to the community and to the environment, as well as the workplace.
The allpay prepaid card is issued by allpay Ltd pursuant to license by Mastercard International Incorporated. allpay Ltd is a company regulated by the Financial Conduct Authority (FRN 900539) for the issuance of electronic money. Head office and registered address: Fortis et Fides, Whitestone Business Park, Whitestone, Hereford, Herefordshire, HR1 3SE (Company No 02933191). Mastercard is a registered trademark of Mastercard International Incorporated.