TD Bank Group and fintech company Plaid have announced a joint effort to eliminate the need to provide login credentials to third-party apps for customers of the mentioned financial institution in the United States and Canada.
The new North American agreement on access to personal information makes it easier for consumers of the specified bank’s services to interact with arrays of financial data and share it with more than 8000 digital platforms and virtual products on the Plaid network through application programming interfaces (APIs). This is reported in a joint press release from the lender and the fintech company.
Franklin Garrigues, TD’s vice president of external ecosystems, says that financial institution customers want access to new types of services that meet their unique needs in sphere banking. According to him, the cooperation agreement with the fintech company will allow consumers of the lender’s services who want to access apps and services on the Plaid network, to do so quickly, safely, and profitably.
The partners’ press release notes that the agreement to simplify the work with personal data is one of several recent TD solutions aimed at developing a digital product that will help customers share their financial information. In this case, the bank aims to create a safe and transparent service in its functional structure, characterized by ease of operation.
TD also joined the FDX Financial Information Exchange system in 2018. In 2020, the bank entered into a data access agreement with Finicity. The lender joined the Akoya financial information exchange network in 2021. In the same year, the bank entered into a data access agreement with Envestnet/Yodlee.
Cecilia Frew, head of open finance at Plaid, says that 84% of consumers have recorded significant improvements after they had the opportunity to manage their financial lives online. She also stated that the company’s relationship with TD allows it to provide millions of people with tools that ensure a secure connection to thousands of digital apps on the fintech firm’s network. Separately, Cecilia Frew noted that in this case, comfortable management of daily finances is provided.
John Anderson, head of payments at Plaid, said in October during a conversation with media representatives that broad progress in the sphere of fintech and the embedded finance sector makes it easier to obtain new services and creates opportunities for innovative apps. He also noted that against this background, the user experience becomes more comfortable and organic for people. According to him, the increasing frequency of applying new solutions increases the level of trust and minimizes the impact of barriers to implementation.
TD is currently the sixth-largest bank in North America by assets. This financial institution provides services to more than 27.5 million customers. As of October 31 of this year, the total value of the lender’s assets amounted to $1.96 trillion.
Plaid currently cooperates with more than 8000 companies. The firm’s network, headquartered in San Francisco, covers more than 12,000 institutions in the United States, Canada, the United Kingdom, and the EU.
As we have reported earlier, TD Bank Cooperates With Regulators on Anti-Money Laundering Issues.