Every year, UK businesses lose millions to fraud, failed payments, and administrative delays. Much of this loss arises from one simple source: incorrect or unverified bank account information. Whether you're onboarding new suppliers, updating payment details, or processing high-value invoices, verifying bank details is essential for protecting your business and maintaining a stable cash flow.
In this post, we explore the three key reasons why verifying supplier bank data isn't just a nice-to-have but an essential step in preventing payment fraud.
Even the smallest typo in a sort code or account number can lead to failed payments, delays, or, worse, payments landing in the wrong account.
How bank verification helps:
These checks dramatically reduce payment errors and administrative overhead.
Invoice fraud is one of the fastest-growing threats facing UK businesses. Criminals intercept or impersonate legitimate suppliers, providing their own bank details and redirecting payments.
How bank verification helps:
With Confirmation of Payee (CoP) checks, you can stop fraud before it happens.
Verifying bank details during onboarding helps you avoid rework, build trust, and ensure compliance with internal controls and external regulations (e.g. KYC/AML).
How bank verification helps:
It streamlines your finance operations and keeps supplier relationships on track.
"With Creditsafe’s Bank Verification tool, the process is much more streamlined and efficient. Clients no longer need to provide extra documentation, and we can confidently ensure that payments are sent to the correct accounts."
Luke Dodd - Head Of Finance
Ashe Construction Limited
Creditsafe's Bank Verification tools combine industry-standard validation, Confirmation of Payee checks, and real-time account verification - all accessible through a simple API or user interface.
Protect your business from fraud and failed payments by verifying supplier bank details with Creditsafe today.
Bank Account Validation
Catch errors before they cost you. Ensure sort codes and account numbers are correctly formatted and structurally valid; reducing failed payments and rekeying delays.
EISCD-Driven Checks
Built on the UK’s trusted sort code directory. We use the Extended Industry Sort Code Directory (EISCD) to verify that sort codes are real, active, and eligible for specific payment types like BACS, CHAPS, or Faster Payments.
Confirmation of Payee (CoP)
Match the account to the name. Avoid misdirected payments and impersonation fraud with real-time Confirmation of Payee checks. Know whether the account name matches what the bank holds before you send a penny.
Full Bank Account Verification
Go beyond the surface. Confirm that an account exists, is active, and belongs to the person or business you expect—ideal for onboarding, fraud checks, and compliance. Available via Open Banking or API integrations.
“Previously, verifying bank details required coordination with our accounts payable department and additional verification steps through Google to prevent fraud. Now, with the new tool, the procurement team can independently complete the verification process with ease and confidence in the verifications, allowing us to work more efficiently.”
Melanie Chandler - Operational Procurement Officer
Sovereign Housing Association Limited
CoP is a name-checking service used when setting up a bank transfer to a new recipient. It tells the payer whether the name entered matches the name on the account.
It is required by major UK banks for Faster Payments and BACS transfers to reduce fraud and misdirected payments.
You should verify a bank account before making any first-time payments, especially with new suppliers, customers, or partners.
While not always legally required, bank verification is strongly recommended and often used as part of due diligence, anti-fraud, and Know Your Customer (KYC) procedures.
When validating bank details (sort code + account number), the EISCD is used to:
This is what powers tools like:
Yes. Bank verification helps detect and prevent fraud by flagging mismatches between the account name and number which is a common sign of payment fraud or scams.
Yes. When done through reputable providers, bank verification uses encrypted, GDPR-compliant processes to protect sensitive information.