New Westpac tool fights payment scams

Westpac is introducing its new safety feature, Westpac Verify, to government and institutional clients.

The tool, available on the bank’s PaymentsPlus platform from late September, checks payee details before payments are made, aiming to prevent payment redirection scams.

“Westpac Verify will help our clients ensure they’re paying the right recipients,” said Nell Hutton (pictured above left), chief executive of Westpac Institutional Bank.

Combatting payment redirection scams

Payment redirection scams, also known as business email compromise, caused $92 million in losses in 2023, according to ACCC.

Scammers typically intercept legitimate invoices and alter bank details to divert payments into fraudulent accounts.

“International scammers target Australian businesses… the damages are significant,” Hutton said, emphasising the importance of tightening payment processes.

Westpac’s new feature helps businesses detect

mismatches in payee information before a payment is initiated.

Westpac’s success with retail customers

Westpac Verify initially launched for retail and small business customers in April, saving over $50 million in scam and mistaken payments.

This expanded rollout aims to further enhance security measures for businesses making large and frequent payments.

Enhanced security for institutional clients

Westpac Verify provides an additional layer of security, alerting businesses to potential mismatches between account names and numbers, reducing the risk of fraudulent payments.

This feature is designed to support businesses and government agencies in safeguarding their transactions.

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