As Featured on Pymnts.com
The future of banking could be all about access.
Most observers may be used to the idea of large corporations like banks and other FIs and service providers competing against one another and keeping their cards close to their vests. But increasingly, major players in the space are opening their databases in order to work more seamlessly with new and innovative FinTech firms that are providing financial services with the internet and smartphone apps, via application programming interfaces or APIs.
This new technology protocol allows diverse software components from different companies to communicate and share data, and it’s being embraced by some of the biggest names in the industry, including major international banks like including Citi, Chase and Standard Chartered.
Late last year, Wells Fargo opened a new API portal, driven by the motivation to connect customers with a broad range of financial services on demand, according to Imran Haider, the head of Wells Fargo’s API Gateway channel.
For the inaugural B2B API Tracker, PYMNTS caught up with Haider to find out more about Wells Fargo’s investment in APIs and the future of the technology for financial institutions and service providers.
Haider told PYMNTS that the company’s investment in APIs is driven by distribution — getting customers the financial services they want, when and where they want them.
“We view new technology like APIs as the next step in distribution,” he said. “It’s really about getting financial services products into any digital experience so you no longer have to come to a bank site to leverage a particular functionality or complete a particular transaction.”