From 31 December UK banks are introducing new ‘comformation of payee’ rules. This means that if someone makes a payment to you the payee details must exactly match the name on your bank account.
If they don’t match then the payment will be returned until things tie up.
What should you do?
- Make sure that the name on your bank account matches your full business name;
- Contact all your customers and ask them to check the payee when they pay you in future;
- Include a note about it on you sales invoices and statements;
- Make sure your credit controller is aware.
If you do these things it should be a HAPPY NEW YEAR!
