EBA Clearing’s FPAD Verification of Payee service is primed to scale

Editorial

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 EBA Clearing has announced that the testing for its Fraud Pattern Anomaly Detection (FPAD) Verification of Payee (VoP) solution confirmed that it is ready to scale.

End-to-end testing by European payment service providers (PSPs), STEP2, and RT1 users, assessed the readiness for the solution to join the ecosystem, allowing businesses to perform VoP checks according to Instant Payments Regulation (IPR) guidelines. The assessment confirmed that the solution is primed to scale securely from 9 October.

In December 2024, EBA Clearing announced a SEPA-wide VoP service.

Erwin Kulk, head of service development and management, EBA Clearing, stated: “FPAD is a powerful toolset that provides PSPs with rich insights based on fraud patterns and anomalies that can be identified at network level. Going beyond VOP, FPAD’s wide range of fraud indicators helps PSPs strengthen their fraud fighting capabilities to ensure a smoother, safer customer experience.”

The testing phase has led to wide adoption of the FPAD VoP solution, with over 55 RT1 and STEP2 participants across 14 nations preparing to adopt the solution in October.

Olivier Jolyon, head of new initiatives, EBA Clearing, commented: “Testing VOP performance with our user community has provided valuable insights to all parties involved, allowing final tuning and preparation for the go-live. As everyone is aware, the end-to-end roll-out of VOP services across the eurozone is a complex undertaking. The volume testing we facilitated has enabled our users to address many challenges at PSP level – we would like to thank everyone who has made this considerable progress possible by participating in this effort.”