TechnoXander 241: 10+ Benefits of CoP Implementation in 2024!
10+ Benefits of CoP Implementation in 2024!

Implementation of CoP not only improves payment security but also boosts customer trust in banking services and encourages the adoption of digital banking. Discover the benefits of CoP and its ability to transform the security and efficiency of Financial Institution by 2024."

TechnoXander 215 COP TF’s Role in the VOP Scheme Management
COP TF’s Role in the VOP Scheme Management

The Verification of Payee (VOP) Scheme plays a role, in ensuring that payments reach the intended recipients accurately thus minimizing the potential, for fraud and mistakes. Overseen by the European Payments Council (EPC) AISBL the VOP Scheme Management follows an approach to uphold its reliability and flexibility.

TechnoXander 175 APP Fraud Prevention
Navigating the Landscape of APP Fraud Prevention: Unpacking the June 2023 Policy

The impending reimbursement requirement for Authorised Push Payment (APP) scams, outlined in the June 2023 Policy Paper by PSR, heralds transformative changes in the financial sector. This breakdown scrutinises the policy's intricacies, encompassing the scope, limits, exceptions, and critical enhancements to the reimbursement framework. Targeting UK Faster Payments system participants, including high-street banks and payment firms, the policy introduces the novel concept where receiving PSPs are mandated to share 50% of the reimbursement burden, bolstered by a defined timeline and ultimate backstop. A pragmatic extension of the reimbursement period to five business days acknowledges operational complexities.

TechnoXander 177 the Scope of Confirmation of Payee Payments 
Unveiling Confirmation of Payee- Exploring the Boundaries: Understanding the Scope of Confirmation of Payee Payments

The blog delves into CoP's influence in Faster Payments, internal transfers, Bacs Direct Credit Payments, Direct Debit Payments, and Open Banking Initiated Payments, emphasising its role in enhancing transaction security. CoP's applicability to both personal and business accounts is highlighted through its meticulous name verification process. However, traditional cheque transactions, cash payments, and card-based transactions remain outside CoP's immediate scope. Looking ahead, the blog anticipates CoP's expansion to 400 more financial firms by October 2024, with plans to include corporate and aggregator access, reflecting ongoing advancements in the financial industry's pursuit of enhanced security and trustworthiness.

TechnoXander 168 APP Fraud Reporting
Navigating the Landscape of APP Fraud Reporting Challenges

Amidst the escalating battle against Authorised Push Payment (APP) fraud, a critical focus emerges— the challenges Payment Service Providers (PSPs) face in reporting such incidents. As the 2024 reimbursement requirement looms, effective communication between sending and receiving firms becomes paramount. This blog scrutinises current hurdles in APP fraud reporting, including communication difficulties, inconsistent approaches in defining fraud scope, varying customer outcomes, receiving fraud data discrepancies, and challenges in applying new requirements.

TechnoXander 176 CoP Advantage for PSPs
Unveiling Confirmation of Payee- Revolutionising Payments: The CoP Advantage for PSPs

This guide provides a strategic roadmap for financial institutions aiming to enhance payment security through Confirmation of Payee (CoP) implementation. Highlighting its pivotal role in combatting APP fraud, the guide outlines key steps: building a business case, engaging crucial bank teams, and deciding on a build versus buy strategy. It advocates an API-first approach for seamless integration, emphasizes data integrity through cleansing, and underscores the importance of clear communication channels and proactive customer education.

TechnoXander 169 Authorised Push Payment Scams
Transforming Reimbursement Policies for Authorised Push Payment Scams: Current Landscape and Future Strategies

The landscape of reimbursement policies for authorised push payment (APP) scams is undergoing a transformative shift following recent legislative changes in the UK. The Financial Services and Markets Bill, granted Royal Assent in June 2023, empowers the Payment Systems Regulator (PSR) to implement an innovative 50:50 cost-sharing model between banks involved in sending and receiving funds for APP scams. This article reviews the current Contingent Reimbursement Model (CRM) Code, outlines upcoming changes, and provides strategic guidance for banks preparing for this shift.

TechnoXander 178 Direct and Aggregator Models
Unveiling Confirmation of Payee- Decoding CoP Models: A Comparative Analysis of Direct and Aggregator Models

The blog discusses the critical role of Confirmation of Payee (CoP) in ensuring payment security and explores two integration models, Direct and Aggregator. The Direct Model involves meticulous onboarding and maintenance, requiring multiple contracts and connections. Despite its current complexity, Direct Model is evolving towards a more streamlined process, allowing PSPs to connect directly with others. In contrast, Aggregator Model, introduced for scalability and speed, simplifies the CoP ecosystem by allowing Technical Service Providers (TSPs) to join and streamline the connections. However, it operates exclusively on the new Pay.UK directory, posing challenges for PSPs relying on the existing OBIE directory.

TechnoXander 179 CoP Responder and Requester Modules
Unveiling Confirmation of Payee- Inside CoP Modules: Exploring the Responder and Requester Module

The article delves into the Confirmation of Payee (CoP) system, a security feature preventing misdirected payments and fraud. It introduces the foundational concept of CoP and emphasizes its role in enhancing financial system trust. Focusing on the Requester Module, it outlines its functions, integration versatility, and user experience benefits. The module initiates CoP requests, handles various transaction types, and facilitates efficient responses, aiding in fraud prevention. The Responder Module is then explored, highlighting its role in managing inbound CoP requests, meticulous data matching, customization, response generation, and collaboration with TechnoXander for informed decision-making.

TechnoXander 171 APP Scams Types
Reporting APP Scams Types- Strategies and Procedures

In the unfortunate event of an authorised push payment (APP) scam, swift action is imperative. This article offers guidance on reporting APP scams, emphasising immediate contact with the respective bank for intervention. Strategies and procedures for victims are outlined, urging prompt reporting, even if the bank is not a Contingent Reimbursement Model (CRM) Code signatory. For banks adapting to the changing reimbursement landscape, the article provides strategic guidance, including bolstering data analysis, optimising data utilisation, focusing on transaction intent, investing in customer education, and establishing a comprehensive feedback loop.