Confirmation of Payee - is it as poor for everyone else?

veryintrigued

As above.
I'm currently overriding 80% of transactions.

A waste of time IMO as it currently stands as I come to expect it will fail the check each time so just override it.

If it was finessed more I might take more credence by it.

As it is, it's been implemented too early and I have little faith that it's checks are of any worth.

cricidmuslibale

veryintrigued said:

As above.
I'm currently overriding 80% of transactions.

A waste of time IMO as it currently stands as I come to expect it will fail the check each time so just override it.

If it was finessed more I might take more credence by it.

As it is, it's been implemented too early and I have little faith that it's checks are of any worth.

I couldn't have put any of this any better myself! Seconded!

robatwork

It's disappointing that a system the regulator set to launch in July 2019 that finally got launched a year late for "most" banks fails so frequently for so many people as evidenced in this thread. In many ways this is worse than not having the system, and I'm sticking with my transfer £1 first method regardless.

Still looking forward to my first "hit" from my Santander 123 to a new payee and will update this thread when the happy day arrives.

Armorica

Transfer £1 first will only work for errors/trusted recipients, not fraud?

robatwork

Armorica said:

Transfer £1 first will only work for errors/trusted recipients, not fraud?

I should have expanded a little - transfer £1 then check (verbally) with the recipient it has been received.

It won't protect against a really sophisticated fraud but will against most.

Armorica

Not really - the fraudster will receive the money.  It'll protect if someone is pretending to be your solicitor. It won't help against investment or romance scams.

robatwork

Armorica said:

Not really - the fraudster will receive the money.  It'll protect if someone is pretending to be your solicitor. It won't help against investment or romance scams.

Do you know what the figures are for the proportion of scams that are romance / investment / APP / email interception? Not sure CoP would help much with an investment scam where they are using a mule account.

eskbanker

robatwork said:
Do you know what the figures are for the proportion of scams that are romance / investment / APP / email interception?

There's a comprehensive breakdown of the incidence of the different types of fraud at https://www.ukfinance.org.uk/system/files/Fraud-The-Facts-2020-FINAL-ONLINE-11-June.pdf

phillw

robatwork said:
Not sure CoP would help much with an investment scam where they are using a mule account.

They will have had to open an account with the name they've given you, which depending on the bank could be quite a lengthy process.
The biggest problem is that it's not supported by all banks.
Sending £1 first and then a larger amount can work, it can cause your account to be blocked because fraudsters do the same thing.

colsten

phillw said:

Sending £1 first and then a larger amount can work, it can cause your account to be blocked because fraudsters do the same thing.

I have done this countless times over the years, with all sorts of UK banks and building societies. Never had a problem. That might be because it was in the main accounts in my own name. It might be different if the receiving account name is not the same, or at least very similar, to the sending account.