As EU payee verification requirements move into active enforcement, KPMG has worked with ION Treasury to bring Verification of Payee live at scale across ION’s treasury solutions. The partnership has enabled customers to operate compliantly without disrupting payment workflows.
Since its adoption in 2024, the EU Instant Payments Regulation has changed how payments must be processed, increasing compliance requirements on affected parties. Verification of Payee (VOP) introduces a fundamental change to how SEPA credit transfers and instant payments are authorised, causing much friction to the payments process.
Now mandatory, VOP requires payment service providers and corporates to verify that a beneficiary’s name matches the associated IBAN before processing SEPA credit transfers and instant payments. This represents a structural shift in payment processing, with direct implications for fraud prevention, payment controls, and day-to-day treasury operations.
Financial services players are increasingly turning to the expertise of the consulting sector for support, in making the changes as frictionless as possible. ION Group provides mission-critical trading and workflow automation software, high-value analytics and insights, and strategic consulting to financial institutions, central banks, governments, and corporates. ION Treasury responded early by embedding VoP capabilities into its treasury management solutions, with ITS becoming the first system in the ION Treasury portfolio live in production under the new regulation – with the support of consultants from KPMG.
“VoP is not just a policy change on paper; it alters how payments are authorized day to day,” said Philipp Leitner, co-CTO at ION Treasury. “Our priority was to ensure customers were ready early and could continue running their payment operations with confidence as regulations evolve.”
Working alongside the Big Four firm, ION has embedded VoP early across its treasury management systems, allowing customers to meet regulatory requirements from day one while continuing to process high volumes of payments under the new framework. KPMG assisted in accelerating adoption across multiple customers, while ION retains full ownership of the product capability and regulatory alignment.
“VoP required banks, treasury systems, and corporates to change established payment processes at the same time,” added Nils A Bothe, partner for finance and treasury management at KPMG. “Working with ION, we aided customers in navigating that complexity and move quickly from regulatory requirement to live execution.”
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