Bank detail verification
Confirmation that the account details on an invoice belong to the named supplier, typically through a Confirmation of Payee style check, before any payment is released.
Bank detail verification confirms that the account details on an invoice belong to the supplier named on it, before a payment is released. In the UK this is typically done through a Confirmation of Payee style check that matches the account name to the account number and sort code.
The single most common point of failure in accounts payable fraud is the bank detail. A fraudster does not need to breach a system; they need only persuade a finance team to change a sort code on an otherwise genuine invoice. Verifying the detail at the point of payment, and again whenever it changes, removes the easy win.
It is most effective as part of a maintained supplier identity rather than a one-off check, so that a change of bank details triggers fresh verification rather than slipping through unnoticed.