FCA looks at confirmation of payee development

FCA has published an insight article looking at the ongoing problems for victims of APP scams. The article looks at initiatives to minimise the risks of falling victim to these scams and, in particular, how the advent of Faster Payments brings both advantages and bigger risks to consumers. The article considers the potential safety feature that “Confirmation of Payee” could bring, either by the potentially receiving bank confirming to the payer user the name of the account to which the payment is being made, or, if the payer’s instruction included the payee name informs the payer that the name on the instruction does not match the name on the account. The article expresses the view that all banks need to implement such a feature is the will to do it and that, if the will is there, it should be the work of a “wet weekend” to action it.