The Eurosystem has successfully completed the preparatory phase for the launch of the Verification of Payee (VoP) service for Payment Service Providers (PSP). The implementation of the VoP service will help reduce the risks of fraud and errors in payments, allowing payers to check the account details of recipients before making transactions, reported press service of the European Central Bank.
This initiative builds on the work of the Bank of Portugal and the Bank of Latvia and aims to help PSPs in the Single Euro Payments Area (SEPA) to comply with legal obligations for credit transfers in euro.
Within the scope of the project, two new technical solutions were developed in accordance with the VoP scheme approved by the European Payments Council. These decisions will ensure pan-European coverage and will be coordinated by the Eurosystem.
Each payment service provider in the euro area will be able to fulfill its obligations to provide a VoP service to its customers by October 9, 2025, by choosing one of the two proposed solutions. The service will be available for instant payments, including those processed through the TARGET Instant Payment Settlement system, as well as for standard SEPA credit transfers.
