Through this partnership, the two companies aim to improve the security and efficiency of payment processing for its clients. The Payment Pre-Validation API uses the UK’s Confirmation of Payee (COP) system to verify beneficiary account details before payments are made. This helps reduce the risk of fraud and errors by ensuring that payment information is accurate prior to processing. By adopting this technology, Aptia is looking to improve the reliability and security of pension fund administration.
According to Aptia, pension funds play a critical role in supporting millions of people, and any disruption or fraudulent activity can have significant consequences.
Main benefits for clients
By incorporating HSBC’s API, Aptia aims to provide its clients with:
- Better security: payments are verified before processing, reducing the chances of fraud.
- Efficient processes: transactions are completed faster and without errors, improving the customer experience.
- Stronger trust: the system reinforces efforts to protect customer data and financial integrity.
Officials from Aptia commented on the implementation, stating that the move aligns with the company’s continuous efforts to innovate and enhance the security and reliability of pension administration services. They emphasised that this step is designed to offer clients greater peace of mind when accessing their pension funds.
HSBC’s Payment Pre-Validation API is part of its broader suite of payment solutions, which aim to meet the growing demands of businesses in an increasingly digital environment. The API incorporates both UK and international regulatory frameworks, including the UK’s COP and Hong Kong's payee schemes, as well as SWIFT’s pre-validation service for global payee accounts.
Representatives from HSBC highlighted that the API demonstrates the bank's ongoing commitment to offering innovative solutions that reduce fraud and errors while improving customer trust and experience.
