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Let Us Help You Connect Consumers to Their Financial Accounts Safely and Securely

August 29, 2022 | 0 min read

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Open Finance delivers better consumer experiences while providing options to your consumers to connect their various accounts into a single view. Open Finance begins with secure and reliable access for consumers to share their data with the financial apps and tools they choose to use. 

We believe that data sharing should always be permissioned, and in the best interest of the customer. To ensure safe, secure, and ethical data sharing, active, clear consent must always be given (and easily revoked), data anonymized, and credential free. 

Open finance APIs provide a more secure and reliable way to connect and verify financial data, removing the need for consumers to share their login IDs and passwords by using token-based technology so credentials are never shared.

Understanding Connectivity

Consumers are looking for any easy way to connect their favorite financial apps to understand their full financial picture. In fact, 90% of people said it would be valuable to see their finances in one place. But, that experience is too labor intensive for the consumer in dealing with broken connections, etc. So the reality is only 40% said they could actually see their full financial picture in one place.

Account holders expect an easy and secure experience from their banks, credit unions, and favorite fintech apps. In fact, something as simple as being unable to connect a fintech app to your bank or credit union may lead consumers to go elsewhere.

MX provides organizations and their consumers with consistent, secure access to all of their financial accounts in a single location. MX deploys a strategy of modern connections to optimize connectivity for businesses from OAuth APIs to tokenized connections to whitelisted IPs to necessary screen scrapes.

OAuth API

Connect Consumers Blog Icon O Auth APIUser-permissioned through a tokenized connection that provides direct, secure, and uninterrupted access to a given institution where data is accessible by data recipients and third parties. 

PROS

  • Tokenized and secure connections within seconds
  • Credentials aren’t shared
  • Connections don’t break with password and website updates
  • Transparency for the account holder and financial institution

CONS

  • Requires more resources for implementation

Direct APIs

Connect Consumers Blog Icon Better APIBetter connectivity directly to an institution’s data by leveraging user credentials. 

PROS

  • Increased speed
  • Better reliability of connections
  • Connections don’t break with website updates 

CONS

  • Non-user controlled access
  • Data is only accessible by a single party
  • Leverages user credentials 

 Sanctioned or Whitelisted Scrapes

Connect Consumers Blog Icon Whitelisted ScrapesProvide better connectivity rates and lays the groundwork for future direct access. Whitelisted IPs allow the financial institution to sanction data sharing with specific IP addresses and see who is accessing their consumers’ data. 

PROS

  • Reduces IT resources
  • Higher connectivity rate for consumers 
  • Interim step while building or vetting an API solution

CONS

  • Leverages user credentials
  • Connections can break 
  • Poor customer experience resulting in need for additional call center resources 

 Traditional Scrapes

Connect Consumers Blog Icon Traditional ScrapesLegacy industry standard that accesses data through traditional screen scraping putting consumer credentials at risk. 

PROS

  • Provides a method for consumers to connect their accounts 

CONS

  • Requires more IT and InfoSec resources when friendly and malicious traffic are unidentifiable
  • Leverages user credentials
  • Connections are less reliable
  • Poor customer experience resulting in need for additional call center resources 

 

Connect Consumers Blog Statistic(Source: MX Research Report — Consumer Trends in Digital and Mobile Banking)

 

Benchmark Your Connectivity

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Connectivity

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