SIGN UP

Bank Transfers

Avatar Image
Barquentine | 06:46 Fri 20th May 2022 | Business & Finance
15 Answers
If someone makes the following mistake when asking their bank to make a bank transfer from their current account to pay an invoice, what would happen?
They provided the sort code, account number and name of the bank for Company A, but under account name they put down Company B!
In other words, there is no account at that bank with account name of Company B.
Can anyone suggest what the result would be?

Answers

1 to 15 of 15rss feed

Best Answer

No best answer has yet been selected by Barquentine. Once a best answer has been selected, it will be shown here.

For more on marking an answer as the "Best Answer", please visit our FAQ.
if the two don't tally my online banking would not permit a transfer to happen !
best ask your bank I am with Barclays and any online transfer/payment of funds has to be correct in all details or an error message presents
Or if the bank don't hold any records that match them up it will warn you and ask if your sure
They will check the name of the recipient tallies if they can. If it doesn't or they can't check it they should ask the payer if they wish to proceed.
I once made a mistake with the account number and it went through.
It took me awhile to get my money back.
It is a push mistake ( you did it and not them)
and so they basically tell you to clear it up

Position has recently changed - the number were the thing and the name only advisory

( another excuse for them not to give a stuff)

and they WERE planning to make it so the transaction didnt go thro.

sozza to be so clear about the current position
I have to say my bank doesnt allow a transfer if I havent transferred before

-- answer removed --
Is this online? As my bank does validation checks and if they don’t pass the onus is on you
Question Author
Thanks for the answers. The person in question put the correct sort code and account number for law firm A but entered law firm B as the payee account NAME. I assumed and I expect 99% of public will assume that bankers can at the very least read, but allegedly not. You can put any old name on the BACS or CHAPS request and the money will still go through as long as a valid sort code and number are used. Who knew!
//You can put any old name on the BACS or CHAPS request and the money will still go through as long as a valid sort code and number are used//

That's not always true - they do try to do name checks & confirm with the payer if there is a discrepancy. But it doesn't seem consistent.
That used to be the case but now the banks do check the name of the account and if they don't match exactly ask if you are sure you want to proceed. It is called 'confirmation of payee'. A few times this has triggered when I've tried to pay a new person.
https://www.moneysavingexpert.com/news/2020/06/confirmation-of-payee/
e.g. I was moving money from Santander to another account (of mine) with a different bank. The receiving bank doesn't support the name check procedure so Santander came back to me to confirm I wanted to make the xfer.
Barquentine, I was always very aware that this could happen and also that it is very easy to make a mistake when entering the bank code and account number, so like many people when paying a new person I have always sent just £1 to make sure the payment goes to the right person.

These mistakes have been highlighted in the press many times over the years and the advice to make a small initial payment has been well publicised, too.

Hopefully all UK based banks will adopt the new system of name checking but we should still take steps to protect ourselves.

The money would go to the account number and sort code you provided, regardless of the name given on the account
or
The transfer would be blocked by the bank as the name and account number did not tally.

The money would most certainly not go to Company B as you did not provide the account number or sort code of their bank account.

1 to 15 of 15rss feed

Do you know the answer?

Bank Transfers

Answer Question >>