Pay a Contact - TSB - Problems

george4064

I searched the forum and found this thread which is referring to the same system which I used and had problems with: https://forums.moneysavingexpert.com/discussion/4948312

I bank with TSB and needed to pay my friend some money, I used the Pay a Contact method and entered his mobile number. The database was able to find his name from his mobile number and the payment was made.

The money left my account, however my friend has neither received any contact nor the money. He banks with Santander. I have informed TSB who are going to log a payment in error to investigate, but I was wondering if anyone had any experience with this or any comments?

In hindsight I really wish I didnt bother and just used the traditional sort code/acc no. method..

george4064

89 views and no replies...?

SnowTiger

george4064 wrote: »

89 views and no replies...?

Few people probably use Paym.

I've only used it three times previously to take advantage of a small cash incentive Santander offered to promote the service.

I think it's another one of those solutions looking for a problem to solve.

I've just made a £1 test payment from my TSB account to my Santander account. The transfer was instantaneous.

As you mentioned, unlike Faster Payments, the transfer process retrieves the recipient's name and displays it so you can be confident you've entered the correct number.

I have several bank accounts. My mobile number was registered to my Halifax account. I had to de-register it and register it with Santander before making my test £1 transfer. Perhaps your friend has more than one bank account and his mobile number for Paym is registered to an account at a different bank.

bigadaj

george4064 wrote: »

89 views and no replies...?

Just seemed like a statement or observation to me, have personally had no need to use it so don't.

Westie983

I think its a service that few people use.

I hope that TSB can get to the bottom of it, but it could well be linked to the issue mentioned by Snow Tiger, your friend may have his mobile number linked to another account.

Have you asked him if he has any other account he has link Paym with? the money could be in that account instead.

Westie983

george4064

Westie983 wrote: »

I think its a service that few people use.

I hope that TSB can get to the bottom of it, but it could well be linked to the issue mentioned by Snow Tiger, your friend may have his mobile number linked to another account.

Have you asked him if he has any other account he has link Paym with? the money could be in that account instead.

Westie983

Got a letter from TSB today. They said the money has been paid to a Barclays account and they can refund the money provided Barclays agree to send it back.

Funny thing is, my friend (who I was intending on sending the money to) has NEVER had an account with Barclays!!!

jamie_02

Paym (called Pay A Contact at TSB) should be a more secure system than using the account number and sort code for a few reasons:

1. It's verified at the time of setting up, as the system texts a passcode to the mobile number when being set up.

2. It verifies the name of the user at the time of payment, as you have said above, the sender is presented with the name of the recipient, which does not happen with account details, and

3. The telephone number can be independently verified by both parties, by an exchange of text message or phone call beforehand. For most users, the recipient's phone number is already known, used and trusted by the sender, so there should be no need to take extra steps.

In my opinion, signup to Paym should be mandatory when opening a bank account if a mobile phone number is provided (unless the system sees that the number is already associated with another bank account) as Paym solves at a stroke the problem of people entering incorrect account details and inadvertently sending money elsewhere. Banks should be retrospectively connecting their customers' phone numbers to accounts, certainly to those using their apps, and encouraging Paym's use.

However, none of this solves your problem. Barclays administers Paym slightly differently to other banks, because the recipient associates a number with its Pingit payment app and it then forwards payment to a Barclays Bank account.

Have you double-checked the number, and name, you sent the money to was correct? Have you checked that the recipient has never used the Pingit app? Have you checked that the recipient has never given a one-time password to another person (fraud)? Have you checked how long the recipient has had their mobile number (they can be recycled, though if the name was correct this would be unlikely)?

The system should be failsafe. If you're sure all the details were correct (and you're sure your friend isn't pulling a fast one) I'd report the system as fraud to TSB and Barclays, and demand they repay the money and investigate at their own expense.

jamie_02

I should add I have associated my number with two accounts (Nationwide, then first direct) and have never ever had any problem. I prefer to use Paym over the account details method, and encourage its use by others, for the reason I have explained above.