Before you send money to a bank account — a payout, a refund, a vendor payment, a commission — you want to know two things: does the account exist and accept credits, and does it belong to the person you intend to pay? Bank account verification answers both, and it is one of the most effective fraud controls a business can add.
Penny-drop verification
A small amount, typically one rupee, is credited to the account using the provided account number and IFSC. The bank returns the account holder's name with the successful credit. Because a real credit happened, you know the account is active and can receive money.
Best for: first payouts, high-value transfers and cases where you must be certain the account accepts credits.
Penny-less verification
The account number and IFSC are checked and the holder name returned without moving any money. It is usually faster and cheaper.
Best for: onboarding checks, name matching at scale and situations where confirming ownership is enough.
Name matching
Compare the name returned by the bank with the customer's verified name — from PAN, for example. Allow for initials, spelling and order differences, approve clear matches automatically and review borderline cases.
Typical uses
- Marketplace seller settlements
- Commission payouts in direct selling and agent networks
- Refunds to customers
- Loan disbursements
- Salary and vendor payments for new payees
Preventing payout fraud
Fraudsters change bank details just before a payout. Re-verify after any bank detail change, add a cooling-off period before paying to new details and alert the account owner.
Card BIN lookup
Related checks such as a card BIN lookup identify the issuing bank and card type from the first digits of a card number.
See our bank account verification API, which includes advance, simple, penny-drop and penny-less checks plus BIN lookup.
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