PaymentsJournal
SUBSCRIBE
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
  • Analysts Coverage
  • Truth In Data
  • Podcasts
  • Videos
  • Industry Opinions
  • News
  • Resources
No Result
View All Result
PaymentsJournal
No Result
View All Result

Visa Acquisition Prospect Plaid Intros Open Banking API Strategy That Mimics Mastercard’s

Tim Sloane by Tim Sloane
May 21, 2020
in Analysts Coverage, APIs, Open Banking
0
Visa Acquisition Prospect Plaid Intros Open Banking API Strategy That Mimics Mastercard’s

Online banking service isometric advertisement poster with cash on smartphone screen financial adviser safety symbols vector illustration

5
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

This article indicates that Plaid is introducing Plaid Exchange, a bank product that will enable banks to expose APIs to a range of trusted fintech developers. Banks that utilize Plaid Exchange will also gain visibility into which 3rd parties have access to customer accounts and be able to communicate that to the customer and turn connectivity on and off.  Other API suppliers to banks might want to consider a similar network implementation both for a central point to apply fraud management solutions but also to identify and control access from fintechs. The article does not identify how Plaid Exchange helps those banks that are only accessible via screen scraping.

Also not mentioned in this article is the role Plaid might take in vetting 3rd party fintechs that want access to bank accounts. A potential roadmap for Plaid might be Mastercard’s multiple Open Banking API offerings Open Banking Connect, Open Banking Protect, and Open Banking Resolve. Mercator looked at Open Banking solutions in our report “The Emergence of API Platforms: Open Banking and Payments Drive New Business Models.”  

“With Plaid Exchange, Plaid can help banks when it comes to implementing an API. It should be more secure and reduce load on the servers.

Banks that choose to work with Plaid to build their API would then have a modern token-based system for their customers. For instance, just like on a social network, customers would be able to see if they have connected their bank account with a third-party service and disable those connections.

Financial institutions could also leverage Plaid Exchange to build new services that connect directly with your main bank account through the API. Companies would be able to see if connections are working fine, which would make it much easier to identify issues with the infrastructure.”

Overview provided by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group.

Tags: APIMasterCardOpen BankingPlaidVisa
5
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

    Analyst Coverage, Payments Data, and News Delivered Daily

    Sign up for the PaymentsJournal Newsletter to get exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    debit cards, Gen Z

    Debit Builds Consumer Loyalty Among Gen Z and Other Top Demographics

    June 7, 2023
    check fraud

    Check Fraud: The Threat is Real

    June 6, 2023
    smart banking

    Smart(er) Banking Requires More Than Just Tech

    June 5, 2023
    Google Wallet Expands Features

    Google Wallet Continues to Bet on Digital with Expanded Features

    June 2, 2023
    digital value

    How Embracing Digital Value Can Help Solve the B2C Payments Conundrum

    June 1, 2023
    instant payments, real-time payments, RTP

    Banks Developing Instant Payments Products in the U.S. Should Focus on Billers to Generate New Revenue Streams  

    May 31, 2023
    Digital Wallet Use Delivers on Convenience and Security

    Digital Wallet Use Delivers on Convenience and Security

    May 30, 2023
    5 Ways to Protect Your Financial Institution from a Cyberattack

    5 Ways to Protect Your Financial Institution from a Cyberattack

    May 26, 2023

    Linkedin-in Twitter

    Advertise With Us | About Us | Terms of Use | Privacy Policy | Subscribe
    ©2023 PaymentsJournal.com

    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    Menu
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Videos
    • Industry Opinions
    • Recent News
    • Resources
    Menu
    • Industry Opinions
    • Recent News
    • Resources
    • Analysts Coverage
    • Truth In Data
    • Podcasts
    • Industry Opinions
    • Faster Payments
    • News
    • Jobs
    • Events
    No Result
    View All Result