Money Transfers

Why do I need to provide payment reason verification?

The “Reason for Payment” section is a regulatory requirement. When a Payment Partner activates your account, the Client Profile needs to satisfy all the AML/KYC and regulatory requirements. Every time a payment is made, one of the many checks that the regulatory agencies require (alongside PEP / Sanctions checks on the beneficiary) is to ensure that the Reason for Payment sits in-line with the Client Profile.

Where there is a mismatch (e.g. Client Profile confirms ‘supplier payments’ and a Reason for Payment confirms ‘Company Investment’) then the client would need to be contacted for clarification. When the client confirms that they are buying a stake in an overseas company, the original Client Profile would need to be updated and only then will the payment be released.