Who needs Verification of Payee?
Some organisations are legally required to offer Verification of Payee; many more benefit from using it. Here's who must comply — and who should adopt VoP to cut fraud.
Required vs recommended
There are two answers to "who needs VoP". The first is regulatory: under the EU Instant Payments Regulation, payment service providers offering euro credit transfers must provide a payee verification service. The second is practical: any organisation that sends or receives account-to-account payments reduces fraud by checking the payee name.
Below is who falls into each group, from banks with a hard legal obligation to businesses and platforms that adopt VoP to protect their own payments.
Who needs Verification of Payee
Banks & PSPs (mandatory)
Euro-area payment service providers must offer VoP on both the requesting and responding side under the Instant Payments Regulation.
Payment institutions & EMIs
PIs, e-money institutions and neobanks offering SEPA transfers fall under the same obligation as banks.
Businesses & corporates
Not legally required, but exposed to invoice fraud and payroll diversion — VoP is the most effective control.
Software, ERP & fintech platforms
Accounting, payroll and treasury platforms add VoP to protect every client that pays through them.
Public sector & utilities
Government, councils and utilities sending high volumes of disbursements use VoP to prevent misdirected funds.
Individuals
Consumers don't run VoP themselves — their bank does it for them automatically before a SEPA transfer.
If you're a euro-area PSP, the deadline has passed
Euro-area providers have had to offer VoP since 9 October 2025; non-euro EU providers must comply by 9 July 2027. If you're not live yet, that's a compliance gap to close now.
FAQ
Payment service providers — banks, payment institutions and e-money institutions — that offer euro credit transfers in the EU. The Instant Payments Regulation requires them to provide a payee verification service on both the sending and receiving side.
No. Consumers don't implement VoP themselves. Their bank performs the name check automatically and shows the result before they confirm a SEPA payment.
It isn't a legal requirement for them, but businesses sending supplier, payroll or treasury payments benefit enormously. VoP is the strongest defence against invoice fraud and misdirected payments.
Within the EU, non-euro PSPs must comply by 9 July 2027. Outside the EU there's no equivalent mandate, though schemes like the UK's Confirmation of Payee serve a similar purpose.
Not sure if VoP applies to you?
Tell RoxPay your role and volumes and we'll confirm your obligations and the fastest route to comply.