Does recipient approval work separately from payment approval?Does recipient approval work separately from payment approval?Jun 23, 2026Knowledge
InformationDetailsYes, recipient approval works separately from payment approval. While both are part of your security framework, they serve different purposes and can be configured independently to create a more efficient workflow.Recipient approval is designed to verify the bank details of a supplier at the source, while payment approval focuses on the transaction details (like the amount and date).Why is this important:Having these as separate processes allows for greater flexibility and security. For example, you can set a policy where every new or modified recipient requires a check (the recipient approval), but only large payments (e.g., those over $10,000) require a separate payment approval.This approach is often more efficient than requiring every single payment to be approved, as it ensures you have already verified that the recipient's bank details are legitimate before any funds are moved. It also improves segregation of duties, allowing a "Preparer" to manage recipient data independently of the actual payment workflow.Key Differences:Recipient Approval: Triggers when a recipient is created or modified. Once approved, the recipient is "Active" and can be used for future payments.Payment Approval: Triggers when a payment is submitted. It ensures the transaction itself is authorized, regardless of whether the recipient was already verified.Next Steps:To manage these separately, you can create distinct policies in your account:Navigate to Approvals > Policies.Use the Recipients tab to set rules for when bank details are changed.Use the Payments tab to set rules based on transfer amounts or currencies.Related FAQ Articles:How do I set up a recipient approval policy? What is recipient approval and how does it work? How do I approve the creation of a new Recipient? How do I create a policy for a recipient?How do I submit a payment for approval?How to set up an Approval policyTitleDoes recipient approval work separately from payment approval?URL Namekb-3833200724-does-recipient-approval-work-separately-from-payment-approval