Introduction
In today's digital era, ensuring the authenticity and ownership of bank accounts is crucial for a myriad of online transactions and services. The Reverse Penny Drop Verification API offers a secure and efficient method for verifying bank accounts through a user-initiated micro-transaction process.
How It Works
Our API is structured around a two-step verification process:
- FunctionalityThis API generates a unique link containing multiple Unified Payments Interface (UPI) URLs for the customer.
- User ActionThe customer is required to perform a transaction of 1 rupee through any of the provided UPI URLs. This transaction acts as a consent and verification mechanism, ensuring that the account is active and accessible to the user.
- Post-Transaction ProcessingOnce the transaction is completed, our API retrieves the details of the associated bank account. The penny deducted also is returned to the customer at the end of the business day.
- Data SecurityWe ensure the highest standards of data security and privacy compliance. The information retrieved is limited to what is necessary for verification purposes, such as the account holder’s name, account number, and transaction details.
Key Features
- User-Centric VerificationRequiring an action from the user (a small transaction) adds an extra layer of security and consent.
- Speed and EfficiencyThe process is quick, with most verifications completed within minutes.
- Reduced Fraud RiskEnhances security by verifying the physical possession of the bank account.
Who can avail this service?
Any company falling in the below-mentioned MCC codes can use the reverse penny drop service:
MCC Code | Type of Business |
|---|---|
6012 | Mutual Funds |
6211 | Securities - Brokers/Dealers |
6300 | Insurance Sales, Underwriting, and Premiums |
7322 | NBFC |