how to verify bank account if its valid to receive funds?

Question

Good day,

I'm currently developing a system for ads, and we have users who advertise / share a post on our site then they get paid for it.

also we have a form that requires their account number. My question is, how do we verify if the account number they write on our form if its valid or not, before we transfer the fund to it? is there a way we can do this electronically? we are currently new to TD's EFT.

I just would like to asks for advice to those who has experienced working with any banking api.

please give me some advice on where to start. Thanks!

Answer 1

You can look at the ISO9362 standard which define the SWIFT code, there is one also for BIC and IBAN codes, so at least you can formally validate the code and find if the user entered a wrong number ( a type error for example).

Once you have a formally valid code, you can eventually check with the correct bank if the api it expose a method to allow it.

But you can neven be sure of the person/account number match until the bank say it.