Banks in Bulgaria will start rolling out a "Verification of Payee" check on transfers from 1 December, the Association of Banks in Bulgaria (ABB) said. Before a customer confirms a transfer, the system compares the recipient's name with the name of the IBAN holder.
The check is meant to stop money going to the wrong account, and to guard against fraud involving a faked name or IBAN.
All banks and other payment service providers in Bulgaria must offer it by 1 January 2027. Customers pay no extra fee. The association says the check follows EU rules on safer payments set out in Regulation (EU) 2024/886.
It covers standard and instant credit transfers in euro, whether customers make them through mobile banking, online banking or at a bank branch.
Customers fill in the transfer as before, typing in the recipient's name and IBAN. The check is built into the transfer and customers do not have to ask for it. It usually takes a few seconds.
Before confirming, the customer gets one of four results. A "full match" means the name entered is the same as the account holder's. With a "partial match", the names are similar but not identical, and the customer sees the name linked to the account so they can check it and correct it. With "no match", the name entered does not fit the name linked to the IBAN.
The check may also fail altogether, for example because of a temporary technical fault or because the recipient's bank does not yet offer the service.
If the names do not match, or the check cannot be done, ABB advises customers to go over the details carefully. If in doubt, they should contact the recipient in a way they know and trust. Anyone who ignores the warning risks sending the money to another person or company.
The association says the customer decides whether to go ahead with the transfer.
ABB also recommends that customers review their saved recipients in online and mobile banking beforehand. Nicknames, abbreviations and labels such as "Mum" or "Rent" should be replaced with the full name as it appears on an ID document, or the company's official name linked to the account.
Anyone who shares their details to receive a transfer should give the exact IBAN and the name the account is registered under. More information and answers to frequently asked questions are on the ABB website.