VoP user group: looking back at the first workshop

At LUXHUB, weve launched a Verification of Payee solution, called Payee Verification Platform , which is destined to Payment Service Providers all over the EU, in the context of the Instant Payments Regulation. After onboarding our first customers, were now organizing a series of workshop for our VoP user group members, composed of dozens of payments and compliance experts. With the obligation entering into application in less than one year, weve brought together several experts for a first session at the end of October 2024.

Animated by Ramzi Dziri, Head of Product and payments expert, the workshop first focused on version 1 of VoP Scheme Rulebook, recently published by the European Payments Council (EPC).   

Guiding principles & rules for PVP matching logic

To ensure consistency across providers and Payment Service Providers, the Payee Verification Platform logic follows the EPC guidelines deciphered above.

The matching logic concretely implements these guidelines (distance algorithm, affixes and nickname lists, etc.) and complements them following a general flow: NAME PRE-PROCESSING STRICT RULES MATCH TOKENIZATION FUZZY MATCH FINAL MATCHING RESPONSE The matching logic will continue to be incrementally tweaked in the coming months, notably with the addition of new strict rules, the adjustment of certain variables (e.g. threshold of matching) and the enrichment of the various reference lists (affixes, nicknames in additional languages).

Finally, regarding the messages that PSPs communicate to end-user based on the VoP matching outcome, Ramzi added: VoP response is a rather critical information. It can cause potential friction to the credit transfer experience or could even lead to financial consequences for some individuals or small businesses. In this respect, messaging should be CONSISTENT, CLEAR and also NUANCED.

Interested in joining the VoP user group? Get in touch with the team.   

Learn more about Payee Verification Platform