Pension and retirement payouts are among the most sensitive payments a fund makes. They recur for years, the recipients are often older or vulnerable, and the accounts can drift out of date as people switch banks. Each of those factors increases the risk of payments going astray.
Where things go wrong
Fraudsters target pensions by submitting fraudulent change-of-bank-details requests. A pensioner may also simply move banks without updating records cleanly. Verification of Payee catches both: it confirms the account name still matches the pensioner before money is sent.
Protecting vulnerable recipients
Because pensioners can be targets of manipulation, verifying details on every change — not just at setup — is a strong safeguard for both the fund and the recipient.
Where VoP fits
- 1 Verify payout accounts when they are set up and whenever details change.
- 2 Run periodic bulk checks across the payout book to catch stale or mismatched accounts.
- 3 Treat a mismatch as a hold-and-confirm event before the next payment run.
- 4 Keep a clear audit trail for each verified account.
Reliable payments for life
RoxPay's Verification of Payee supports both single and bulk checks, so pension funds can verify a changed account instantly and re-check the whole book on a schedule.