Real-time indication to remittance sender that remittance transaction fails

A system comprising:

• an acquiring financial institution (FI) computer;
• a payment system configured for communicating with the acquirer FI;
• a funding FI configured for communicating with the payment system;
• and
• a receiving FI configured for communicating with the payment system;
• wherein the payment system is operable to:
• receive from the acquiring FI, a funds transfer request of a sender, the funds transfer request including an amount, recipient information identifying a recipient, and funding account information identifying the funding FI;
• transmit a funds transfer authorization request to the funding FI;
• receive an authorization response from the funding FI that includes the sender's name and residential address;
• determine, based on the authorization response, that know your customer (KYC) and anti-money laundering (AML) requirements are satisfied;
• determine the identity of the receiving financial FI based on the recipient information;
• transmit funds transfer information to the receiving FI, the funds transfer information comprising the recipient information, the amount, and the sender's name and residential address;
• receive confirmation of the validity and availability of a recipient's payment card account for receiving the funds transfer from the receiving FI;
• and
• transmit a funds transfer in the amount specified in the funds transfer request to the recipient's payment card account at the receiving FI.