NOBA Bank Taps Tieto Banktech to Combat Fraud with Verification of Payee Rollout

Quick Summary

NOBA Bank Group has partnered with Tieto Banktech to implement Verification of Payee (VoP) technology across its European brands, including Bank Norwegian and Nordax Bank. This partnership aims to combat rising payment fraud by validating recipient details in real-time, starting with a strategic rollout in Finland before expanding across the Nordics and Europe.

How does Verification of Payee prevent payment fraud?

Verification of Payee serves as a critical security layer by ensuring that the name of the recipient matches the account details provided before a transaction is finalized. As payment fraud reached a staggering €4.2 billion in Europe in 2024, financial institutions are under pressure to adopt real-time validation tools. By integrating both EPC and Nordic VoP standards, NOBA Bank Group can effectively mitigate Authorized Push Payment (APP) fraud and misdirected transfers.

• Cross-border security: Supports both Euro and Nordic currency payments.
• Cloud-native scalability: Delivered via AWS for rapid multi-market deployment.
• Regulatory compliance: Aligns with European Banking Authority (EBA) safety standards.

What results has the Tieto Payment Platform delivered?

The Tieto Payment Platform provides a unified infrastructure that allows NOBA to manage security across multiple brands like Bank Norwegian and Nordax Bank without fragmented, country-specific setups. This SaaS-based approach ensures that security updates and fraud prevention logic are applied consistently across all eight markets where NOBA operates. The system is designed to handle the high-volume demands of over two million customers while maintaining a frictionless checkout experience.

“For us, it has always been about delivering the best possible experience for our customers. That means never having to choose between security, convenience, and scalability. We're already in a strong place, and with VoP we can build on that. It lets us retain and enhance the payment experience our customers expect, while adding an additional layer of protection, all in a consistent and tailored way across our markets", says Andreas S. Pedersen, Head of Tech, Projects and Product Development, at Bank Norwegian.

Why is cloud-based security essential for European banks?

Modern financial SaaS solutions allow specialist banks to compete with incumbents by offering enterprise-grade security without the overhead of legacy hardware. By utilizing the AWS public cloud, NOBA Bank ensures that its Verification of Payee implementation can scale instantly as transaction volumes grow. This flexibility is vital for a group that manages a diversified offering across retail banking, SME lending, and wealth management.

“We are pleased to partner with NOBA Group and provide a state-of-the art Tieto Payment Platform, enabling them to continuously strengthen their defences against evolving fraud risks while keeping the payment experience seamless for their customers. Utilizing the full potential of our modern cloud-based Verification of Payee solution", says Sathish Padmanathan, Head of Global Payments, Tieto Banktech.

FF NEWS TAKE:

This partnership definitely moves the needle for Nordic banking security. By adopting a Verification of Payee solution that spans both EPC and NVOP standards, NOBA Bank is future-proofing its operations against sophisticated payment fraud. Tieto Banktech’s cloud-first delivery model proves that scalable SaaS solutions are no longer optional - they are the baseline for any bank serious about protecting two million customers in a volatile digital landscape.