PayID has been designed to provide more reassurance during the payments process. A key benefit of PayID is the payee confirmation step that enables the payer to see the name that the PayID is registered to before confirming the payment.
The payee confirmation step is aimed at reducing the number of mistaken payments, as well as some cases of fraud, which is why it has been, or is currently being, adopted in other countries around the world with real-time payments systems.
It’s also important to remember that a PayID cannot be used to withdraw money from an account and a PayID on its own cannot be used to create a false identity.
When a person chooses to create a PayID they do so with their full consent, informed by the terms and conditions of their financial institution which outlines how the PayID service operates and should be used. At the same time participating financial institutions are also required to have measures in place to ensure PayID is not used by customers or customer applications to mine data for fraudulent purposes.
Do I have to use a PayID?
No, you still have choice. If you are not comfortable creating a PayID using your phone number for example, there are other PayID types, such as an email address, you could use. Or you can decide to not to use the PayID service and instead continue to use your BSB and account number and still receive the benefits of faster payments offered by Osko, without the added benefits of PayID.
Last updated: 20 February 2019
The information contained in this article is only correct at the point of time of publication. It is general information and has been prepared without taking into account your personal circumstances, objectives or needs. Please consider if this information is right for you before making a decision to acquire any product.