Paying euro suppliers? The payee name now matters as much as the IBAN

Verification of Payee now checks the name on euro transfers across the eurozone. Here's what it means for businesses paying or receiving euros.

Since 9 October 2025, banks and payment providers in the eurozone must check that the name on a euro transfer matches the name on the receiving account before the money moves. The check is called Verification of Payee (VoP). It applies to standard SEPA and SEPA Instant payments.

What you'll see

• Match - the payment goes ahead.
• Close match - the name is nearly right, such as "Ltd" missing. You're shown the correct name.
• No match - stop and check before you pay.
• Verification not possible - the receiving bank couldn't run the check.

What it means for your business

• Store suppliers' exact legal names. A trading name or abbreviation may only give a close match.
• Treat "no match" as a warning. It's often the first sign of invoice fraud - a spoofed email with "new bank details". Phone the supplier on a number you already hold.
• Expect warnings on euros paid to you. VoP is only mandatory for eurozone providers; UK providers aren't covered. A customer in the Republic paying a UK-based euro account may see "verification not possible". Let regular customers know it isn't a red flag.

If a payment is flagged, or you have suspicions, talk to the TransferLab team before you act.