NAB has today welcomed the launch of the banking industry’s new Confirmation of Payee system to help tackle scams.

Customers making payments with a BSB and account number in the NAB App and Internet Banking will benefit from the technology as it is rolled out at NAB.

The initiative – developed by AP+ and part of the Australian Banking Association’s Scam-Safe Accord – checks the account names and numbers entered by the payer against the details held at the receiving banks and provides a match outcome.

NAB Executive, Group Investigations, Chris Sheehan said the initiative was another way for customers to help ensure their money was going to the right person or business.

“Scammers are criminal grubs who will do anything to rip Australians off. We are committed to innovating and using technology to help stop the crime and protect people,” Mr Sheehan said.

“Confirmation of Payee will help target issues like business email compromise scams and mistaken payments, but it’s not a silver bullet.

“Business email compromise scams start with criminals hacking into business email accounts to alter payment details hoping recipients don’t notice the changes and proceed with a payment.”

Mr Sheehan joined outgoing Australian Banking Association CEO and Assistant Treasurer and Minister for Financial Services Dr Daniel Mulino at NAB’s Fraud Operations Centre for the announcement.

Mr Sheehan said Confirmation of Payee will help customers ensure their money is going to the right person or business.

“When a customer enters the account name, number and BSB it will be checked against those held by the payee’s bank,” Mr Sheehan, a former Australian Federal Police executive, said.

“Customers will see if the name they’ve entered matches, is a close match or doesn’t match. If the details don’t match, it could be a scam. Stop and contact the person directly, via details you’ve found, to double check payment information.”

Mr Sheehan said Confirmation of Payee was focused on prevention and stopping the scam before it occurs.

“We have to disrupt the scam ecosystem and stop the crime occurring in the first place to drive these criminals out of Australia,” he said.

“We’ll continue to play our role and look forward to continued consultation with Government and regulators on the establishment of Scams Prevention Framework rules and the industry codes.”

Background

Confirmation of Payee is in the process of being rolled out to the NAB App and Internet Banking over coming weeks. NAB Connect, NAB Trade, Ubank and payments made at branches are not included at this time.

Read more about Confirmation of Payee on the ABA website and at Confirmation of Payee | Verify account name – NAB.

Read more about business email compromise scams, common red flags and ways to protect yourself here: Spot fake emails and invoices | Payment redirection scams – NAB.