Wells Fargo has struck an agreement with Plaid, enabling its clients to exchange their financial data with the fintech apps supported by Plaid.
The interchange of data will be enabled through an API, which according to the bank, supports a “more secure, tokenised “handshake” between the companies’ servers”.
The API will keep user credentials private, while enabling data sharing.
Moreover, users will be able to turn the data sharing capability on or off through Wells Fargo’s Control Tower.
Plaid head of business development and strategy Sima Gandhi said: “It is critical that consumers have more secure and seamless access to their own financial data to power their modern financial lives, and our collaboration with Wells Fargo will ensure that our mutual customers can enjoy the best of fintech innovation for years to come.”
Wells Fargo plans to introduce the capability with select Plaid customers in a year.
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At the end of last year, another American banking major JPMorgan Chase signed an agreement with Plaid for data sharing.
Wells Fargo Virtual Channels head of digital payments Ben Soccorsy said: “We want to be where our customers are.
“And if customers want to share their Wells Fargo account information with a Plaid-supported app to help them better manage their finances, we want to enable them to do so seamlessly and more securely.”