ACI Worldwide Extends Fintech Partnership Ecosystem to Fight APP Fraud in Europe and the UK

Rhea-AI Summary

ACI Worldwide (NASDAQ:ACIW) has expanded its fintech partnership ecosystem by partnering with Banfico, a fintech specializing in regulatory technology and Open Banking solutions. The collaboration aims to help UK and European banks and payment service providers (PSPs) comply with Verification of Payee (VOP) and Confirmation of Payee (CoP) requirements.

The VOP service, mandatory for PSPs by October 2025 under the European Instant Payment Regulation, verifies account names and numbers before transfers to enhance payment security across the Single Euro Payments Area. As a Pay.UK-certified CoP aggregator, Banfico enables ACI to provide CoP services to Faster Payments customers in the UK, offering additional protection against fraud and identity scams.

Positive

• Partnership enables compliance with mandatory European Instant Payment Regulation
• Expands service offerings in fraud prevention and payment security
• Strengthens market position in UK and European payment solutions

Negative

• None.

Insights

Financial Technology Expert

This strategic partnership marks a significant expansion of ACI Worldwide's payment security capabilities, addressing a critical market need ahead of the October 2025 European Instant Payment Regulation deadline. The timing is particularly strategic, as financial institutions are under increasing pressure to combat APP fraud, which has become a multi-billion dollar problem in Europe and the UK.

The partnership offers three key competitive advantages: First, it provides a turnkey solution for ACI's existing customers, reducing their implementation costs and time-to-market. Second, it positions ACI as a one-stop shop for payment processing and verification services, potentially increasing customer stickiness and revenue per client. Third, it enables cross-selling opportunities to Banfico's client base.

From a market perspective, this move strengthens ACI's position in the European payments infrastructure market. By integrating Banfico's Pay.UK-certified CoP aggregator services, ACI can now offer a comprehensive solution that addresses both regulatory compliance and fraud prevention needs. This is particularly valuable for smaller PSPs and banks that may lack the resources to develop these capabilities internally.

The partnership's timing, well ahead of the 2025 regulatory deadline, suggests ACI is positioning itself to capture early-mover advantages in the VOP implementation wave. This proactive approach could lead to increased market share and higher customer acquisition rates in 2024-2025 as financial institutions scramble to meet compliance deadlines.

Partnership with Banfico enables ACI to offer Verification of Payee and Confirmation of Payee services to banks and payment service providers in the UK and Europe

OMAHA, Neb. & LONDON--(BUSINESS WIRE)-- ACI Worldwide (NASDAQ:ACIW), an original innovator in global payments technology, has announced the extension of its fintech partnership ecosystem through an alliance with Banfico, a leading fintech specializing in regulatory technology, global account verification and Open Banking solutions.

ACI processes account-to-account payments for hundreds of PSPs in Europe and the UK with market-leading instant payments solutions. Through the partnership with Banfico, ACI will support UK and European banks and payment service providers (PSP) to comply with mandates to offer Confirmation of Payee (CoP) and Verification of Payee (VOP) services.

VOP service is a pan-European regulatory requirement as part of the new European Instant Payment Regulation, which all PSPs must adhere to by October 2025. VOP enables PSPs to confirm account names and numbers prior to executing a transfer and is designed to enhance payment security across the Single Euro Payments Area and combat the growing threat of fraud, including Authorized Push Payments (APP) fraud.

Additionally, Banfico is a Pay.UK-certified CoP aggregator, enabling ACI to offer CoP services to new and existing Faster Payments customers in the UK. CoP—an account verification/name-checking service for UK-based payments—provides consumers greater assurance that they are sending payments to the intended recipient. This extra security helps consumers avoid making accidental payments to the wrong account holder and provides another layer of protection in the fight against fraud and identity scams.

“Account verification services are a critical component of modern payment systems. VOP is a key requirement as part of Europe’s Instant Payment Regulation. Similarly, in the UK, most major banks and PSPs have implemented CoP to enhance payment security and reduce APP fraud,” commented Nick Craig, head of Europe, ACI Worldwide. “Partnering with Banfico enables ACI to support our customers to adhere to new market and regulatory requirements more swiftly and to make instant payments more secure.”

“We are excited about our partnership with ACI Worldwide; it combines the best of both worlds: ACI’s unrivalled capabilities in payments software technology, and Banfico’s expertise in account verification services,” commented Kannan Rasappan, CEO of Banfico. “Our partnership with ACI Worldwide strengthens Banfico’s commitment to the UK and European market and will enable us to drive innovation in regulatory solutions for banks across the region.”

About ACI Worldwide

ACI Worldwide, an original innovator in global payments technology, delivers transformative software solutions that power intelligent payments orchestration in real time so banks, billers, and merchants can drive growth, while continuously modernizing their payment infrastructures, simply and securely. With nearly 50 years of trusted payments expertise, we combine our global footprint with a local presence to offer enhanced payment experiences to stay ahead of constantly changing payment challenges and opportunities.

© Copyright ACI Worldwide, Inc. 2025

ACI, ACI Worldwide, ACI Payments, Inc., ACI Pay, Speedpay, and all ACI product/solution names are trademarks or registered trademarks of ACI Worldwide, Inc., or one of its subsidiaries, in the United States, other countries, or both. Other parties’ trademarks referenced are the property of their respective owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250205174957/en/

Media Contacts

Nick Karoglou | Head of Communications and Corporate Affairs | nick.karoglou@aciworldwide.com

Katrin Boettger | Communications and Corporate Affairs Director | katrin.boettger@aciworldwide.com

Source: ACI Worldwide

FAQ

What is the deadline for PSPs to comply with VOP requirements under ACIW's new service?

Payment Service Providers (PSPs) must comply with Verification of Payee (VOP) requirements by October 2025 under the European Instant Payment Regulation.

How does ACIW's partnership with Banfico enhance payment security?

The partnership enables account name and number verification before transfers, helping prevent Authorized Push Payments (APP) fraud and accidental payments to wrong accounts.

What new services will ACIW offer through the Banfico partnership?

ACIW will offer Verification of Payee (VOP) services in Europe and Confirmation of Payee (CoP) services in the UK through the partnership.

What regulatory requirements does ACIW's new partnership help address?

The partnership helps banks and PSPs comply with the European Instant Payment Regulation's VOP requirements and UK's CoP requirements for payment security.