Open banking pioneer Volt, a UK-based, leading fintech company powering the growth of real-time payments in UK and Europe, is launching Verify, an ultrafast bank account authentication service for online merchants and businesses.
The launch will occur simultaneously in the UK as well as five European markets: France, Germany, Ireland, Spain, and Austria. The fintech giant plans to expand the product’s reach into additional European markets by the end of this year. Volt offers a +95% coverage for these consumers bank accounts. The launch marks Volt’s expanded capability to cover AIS alongside PIS, which sees the payments gateway now covering the full spectrum of open banking services in Europe.
This product automates, strengthens, and simplifies the process of verifying customer bank account ownership by businesses in all markets and sectors. Merchants and businesses can ensure frictionless checkout for their customers. This will also help them strengthen their regulatory compliance and fraud prevention defenses. Verify enables them to securely access customers’ bank accounts prior to payment initiation, to confirm users’ full name, bank account number and, where available, account balance. The old methods of account authentication were based heavily on manual processes and legacy credit bureaus. Unstructured data was also used, which led to slow, resource-intensive, error-prone and time-consuming processes.
“Verify’s ultrafast capability eliminates the complexity of the verification process and reduces additional steps. It is a great alternative to using microtransaction/penny transaction flows (where a user is required to send 1 penny transaction), which cause delays in the verification process and user drop-off at checkout, a major source of lost revenue for merchants and companies in the digital economy. Verify enables merchants to provide a superior user experience at checkout and is a highly effective solution for businesses that require quick confirmation of identity or account number authentication”, says Aleksandra Petera, Product Owner, Verify at Volt.
Four easy steps to ultrafast account ownership authentication
- Volt is selected by the customer at checkout. They also choose their bank
- They grant Volt access to their account data
- They authorize access via their online banking app or banking app
- These data are available for businesses through notification webhooks
Initially, Verify uses the single redirection authentication method, which makes the product immediately viable in Europe’s key markets. Future plans include adding additional authorisation options, which will significantly increase bank coverage. Open-loop payments and direct debit mandates are key use cases for Verify. Account authentication is essential to minimize failed payments. User profiles allow users to access aggregated accounts information to speed up payment or finance management.
Marcus Naserek, Co-founder and CEO of German-based company Sideos, one of the first to use Volt’s Verify product, says: “Our mission at Sideos is to be the essential platform enabling enterprises to manage the digital identity of people and objects in the Web 3.0. Volt’s account authentication product Verify provides a powerhouse solution that gives people a real-time shopping experience using their verified bank account in a very convenient way.”
“With the launch of Verify, Volt now spans the entire spectrum of open banking capabilities, covering both AIS (Account Information Services) and PIS (Payment Initiation Services). Decreasing friction and preventing fraud are top of mind for companies operating in the digital economy, and Verify delivers the simplicity customers want, the security both them and merchants need, and the scale across key European markets as a blueprint for a future of real-time payments everywhere”, says Aleksandra Petera, Product Owner, Verify at Volt.