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Why FDX Matters — Promoting a Standard of Excellence in Financial Services

July 25, 2022 | 0 min read

We are living in a world ruled by data. Companies in and out of the financial ecosystem use consumer financial data to create products, services, recommendations, and campaigns. That data is sometimes collected through methods where the consumer isn’t in control of who has access to their financial data. MX believes that the first step towards financial strength is consumers being able to access and act on their financial data. And most importantly, people need secure control and the ability to grant and revoke access at any time.  

This is why organizations like Financial Data Exchange (FDX) are so crucial to the modern financial economy.

What is FDX? 

FDX is dedicated to unifying the financial services ecosystem around a common, interoperable, and royalty-free technical standard for user-permissioned financial data sharing. Any company within the financial industry can contribute to the development, growth, and adoption of the FDX API and other objectives. Five core data sharing principles are central to what FDX does to empower users: Control, Access, Transparency, Traceability, and Security. 

With over 32 million consumer accounts using the FDX API, the largest financial institutions and fintechs in the financial ecosystem widely adopt the FDX API standards. Is your organization a member of the 200 financial industry leaders innovating the financial ecosystem? Learn more here.

Why Data Sharing Matters

The FDX standard puts the needs of consumers first. Enabling people to see all their data in one place benefits customers, financial institutions, and fintechs. MX believes FDX standards will help build a more fair and competitive financial ecosystem. One where consumers have more choice in where they go for financial services and greater insights from their data to take control of their finances. 

For businesses, it creates greater visibility into their customers to provide more personalized recommendations, products, and services to meet their needs. Consistent standards also form a foundation for increased innovation and industry collaboration. 

Adopting FDX standards and embracing Open Finance will lead to a financial future where financial institutions and fintechs can truly empower everyone to be financially strong with access to the right insights and products to support their financial goals.

MX has been a driving force at FDX by chairing and participating in many key task forces and representing fintechs on the FDX Board of Directors. Collaboration has been key to the success of FDX, and we are happy to chat with any company interested in joining.

Curious about where your organization stands with Open Finance? Take our Open Finance readiness assessment to see where your organization falls on the Open Finance journey.

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