From 5 October 2025, all Irish banks and credit unions, including Drogheda Credit Union, will introduce Verification of Payee (VoP). This is a new security feature required under the EU Instant Payments Regulation 2024, designed to help reduce fraud and prevent payments going to the wrong account.
What is Verification of Payee (VoP)?
VoP is a check carried out whenever you set up or amend a payee (the person or organisation you want to send money to).
You enter the name of the payee and their IBAN.
- The systme checks that the name you’ve entered matches the account holder name registered for that IBAN
- You’ll then receive a message telling you if the names match.
Why is it being introduced?
This makes sure you are sending money to the right person or business and gives you greater confidence before completing the payment.
- Fraud prevention: Criminals often trick people into sending money to the wrong account (known as Authorised Push Payment fraud). VoP reduces this risk.
- Error reduction: Sometimes members accidentally mistype a payee’s name. VoP highlights mismatches before the payment goes through.
- Stronger member protections: This change is required across all SEPA (Single Euro Payments Area) institutions by October 2025
Tips to Avoid Delays or Warnings
- Enter the full first name and surname of the person you are paying
- If paying a business, use the registered or trading name
- Avoid abbreviations or nicknames. For example: Don’t use – “Mum” → Use “Mary Murphy” or don’t use Eir → Use “Eircom”
Note: When setting up a new payee, the first payment will not be Instant. It will process as a SEPA Classic payment. Once approved, future payments can be Instant.
What happens if money goes to the wrong account?
If a payment is sent to the wrong account because of incorrect details, we will try to recall the funds on your behalf. However, recovery cannot be guaranteed. That’s why it is so important to check payee details carefully.
For more information about VoP, visit the PayRightNow Site
