Bank account name matching "coming soon" when making a payment?

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Forums › Finance and wealth management › Bank account name matching "coming soon" when making a payment?

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Smpl Mnmlst
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#3298038 16-Oct-2024 12:34

solaybro: 18.05.24

In the UK, when you initiate a payment, you enter the recipient's name along with their account details. The system then performs an immediate check and informs you of the match status. There are three possible outcomes: an exact match, a partial match, or no match. Based on this feedback, you can choose to proceed with the payment, amend the recipient's details, or cancel the transaction.

I heard part of an interview with guy from BNZ Payments on RNZ this morning. He said that the system to be used here is based on and/or very similar to the UK system - with concepts of full and partial matches of account details.

Sometimes I just sit and think. Other times I just sit.

Groucho

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#3298057 16-Oct-2024 13:02

wellygary:

That's a consideration between the Payee and the Payer, nothing to do with the bank,

You can give out whatever details you like, but if the payer gets skittish because they only get a "partial match" its a thing between you two....

I'm guessing they wont publicise the guidelines for working out "non/partial/total" matching, ( to stop spammers gaming it)- but it might be useful to know if "bob" would get a partial match if the account name was "bob smith"

For businesses so long as they count Limited, Ltd and Ltd. as all the same. It'll be frustrating if the payer gets skittish and causes delays in payment because they entered a variant that doesn't 100% match the account name.

richms

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#3298061 16-Oct-2024 13:05

I expect a lot of people will learn the difference between a company and a trading as with this change.

Richard rich.ms

scottjpalmer

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#3298063 16-Oct-2024 13:18

Kiwibank screenshots and FAQs bottom of here

ezbee

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#3298075 16-Oct-2024 13:42

Before they got killed cheques in their last few years were supposed to have had name matching.
How Trump trial would have changed if USA had killed cheques. :-)

Other countries do name matching so no reason smarter NZ can't ?

ASB does not help though as its removed its preset details for major companies, councils etc.

wellygary

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#3298082 16-Oct-2024 14:14

scottjpalmer: Kiwibank screenshots and FAQs bottom of here

Hmm, Interesting,

My wife and I have joint KB accounts with both our names on the Account, When I share the account details via the App it only shares my name, not the full account name...

I suspect that for 90% of transactions you're gonna only get "partial match" and you're still gonna have to take a punt on the account being correct....

I would be very interesting to know what the current "Full/partial/none" match statistics are based on existing transactions- you can't tell me they haven;t done this as a exercise when they scoped this project

its becoming more and more clear that this is basically a PR band-aid for the Banks, .. and not a silver bullet

richms

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#3298086 16-Oct-2024 14:22

wellygary:

its becoming more and more clear that this is basically a PR band-aid for the Banks, .. and not a silver bullet

Not PR, its to get these gullible people that get scammed and blame the bank to have to click past a warning so they can say told you so and have more reason to resist paying them back for giving their money to random people they met on the internet.

Richard rich.ms

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nickb800

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#3298108 16-Oct-2024 15:36

Could you change your name by deed-poll to Citi Bank, so that when you scam people pretending to be CitiBank they see a partial match?

PolicyGuy

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#3298109 16-Oct-2024 15:39

There are going to be some interesting fish hooks in this:

I know at least two people who have gone by their second given name for all their adult lives - i.e. a "Henry John Smith" has been known as "John Smith" by everybody who ever met him.
Similarly people always known by their nickname - i.e. Uncle "George Ernest Xxxxx" always known as "Nobby Xxxxx", even on the council election papers: he was elected under that name!
People are bad at personal admin. A woman of my acquaintance has been married at least a decade and always goes by her married name (say "Billie Smith" and that's the name on degree parchments, too), but she needed to pay me some money and the payer bank account details were for "Wilhelmina Jackson", the long form of her maiden name.
"Mr James Duckworth" marries "Ms Brenda Lewis" and, being a very modern young couple, announce that they wish to be known as "James & Brenda Duckworth-Lewis". I'm sure they intend to change their drivers' licences & bank accounts one day Real Soon Now, but they haven't quite got around to it so far. The marriage was pre-Covid.

It's going to make for some complicated times

KiwiSurfer

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#3298110 16-Oct-2024 15:41

I think there's a lot of doom and gloom. Most likely what I will do is simply advise the payer that they should input my "FIRSTNAME LASTNAME" as the payee and it will match 100%. Problem solved.

For joint accounts I can see Kiwibank has set our joint accounts to be "FIRSTNAME1 LASTNAME1, FIRSTNAME2 LASTNAME2" (previously it was simply A B & C D LASTNAME as we both had the same surname). I presume the system will try and match any one name in the comma separated list. Worse come to worse I still have a personal account I use for Trade Me sales anyway -- can always just uses that.

Yes there will be some interesting realizations e.g. companies that trade under a different name and such. However this is only a good thing as it will force companies to be more transparent.

The only downside I can see are for scammers and the like -- for ordinary people this is a great win IMHO. There will be quirks to be ironed out and education to be done but overall on the right path.

KiwiSurfer

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#3298111 16-Oct-2024 15:42

nickb800:

Could you change your name by deed-poll to Citi Bank, so that when you scam people pretending to be CitiBank they see a partial match?

Check the deed poll rules -- that case is already covered...

https://www.govt.nz/browse/passports-citizenship-and-identity/changing-your-name/change-your-own-name/

wellygary

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#3298112 16-Oct-2024 15:47

nickb800:

Could you change your name by deed-poll to Citi Bank, so that when you scam people pretending to be CitiBank they see a partial match?

No but I could see people opening shell companies with names like "Citi bankers" or even 'Citis Banks"

Surely these will count as a "partial match"- which the scammers with then jawbone you to accept

richms

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#3298127 16-Oct-2024 16:31

Or they will just tell you to use the name of the "exectutive banker" who is handling your offshore bitcon crypto investment payout thing. "Yes, your investment is being handled by honorable mr steve minecraft, please put his name as the account holder to ensure that the investment opportunity operates smoothly and compliance with all applicable regulation."

Richard rich.ms

sen8or

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#3298342 17-Oct-2024 08:12

For every precaution that a bank puts in to try and protect peoples money, scammers will find a way around it and/or people will be blinded enough by the glitz of a big return to disregard the warning signs.

I don't believe that banks should have to pay back peoples money where they have been scammed. The people initiated the transaction, gave instructions to the bank and the bank acted on those instructions (in most cases, electronically with no human interaction whatsoever). Technology may now allow banks to flag accounts / names / transaction types as suspicious which is all well and good, but refer my first point, for each roadblock, scammers will simply find a new route. If banks have to pay back the victims, those costs will be passed on to everyone else.

Vigilance and education are the only real ways to reduce the risks

MadEngineer

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#3308923 14-Nov-2024 11:26

I saw a malicious (hacked/leaked -> munged) email the other day demanding payment and it looked like the provided bank account “name” was something conveniently made up. Does anyone know if the checking here is also applied to the name of the account not just the account holder name?

So for example if you named an account as “Jimmys school fund” a payment was sent to it using that as the name would it be accepted?

With Westpac at least you can name your accounts as anything and change them as often as you like.

You're not on Atlantis anymore, Duncan Idaho.

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