Advertisement
credit & debt

A Safer Way to Share Your Data

Financial institutions are turning to application programming interfaces to securely share info with budgeting apps and tax software programs.

When you use a budgeting app, tax software or other service that relies on information about your bank and investment accounts, you can typically allow the service to retrieve automatic online updates. But some customers are hesitant to give such programs the user names and passwords to their sensitive financial accounts—and banks aren’t keen on the practice, either.

To alleviate those concerns, financial institutions and third-party services are increasingly reaching agreements to share data with application programming interfaces, or APIs. APIs act as dedicated express lanes that allow information to flow more securely between financial entities, says Don Cardinal of industry group Financial Data Exchange. For example, suppose you want to link your Chase bank account to budgeting app Mint. Because Chase has an API relationship with Intuit, Mint’s parent company, Mint will redirect you to Chase to enter your bank login credentials rather than have you supply them to Mint. You can also choose which Chase accounts Mint is able to access, which is useful if you want to share information about your credit card but not your savings account.

Advertisement - Article continues below

Other major banks, including Bank of America, U.S. Bank and Wells Fargo, are also developing API agreements. All of them offer or plan to offer online dashboards that will allow customers to see what services are connected to their accounts via an API. When you log in to your financial account online, look for the dashboard within your profile or security settings.

Advertisement
Advertisement

Most Popular

Medicare Basics: 11 Things You Need to Know
Medicare

Medicare Basics: 11 Things You Need to Know

There's Medicare Part A, Part B, Part D, medigap plans, Medicare Advantage plans and so on. We sort out the confusion about signing up for Medicare --…
September 16, 2020
Election 2020: Joe Biden's Tax Plans
taxes

Election 2020: Joe Biden's Tax Plans

With the economy in trouble, tax policy takes on added importance in the 2020 presidential election. So, let's take a look at what Joe Biden has said …
September 10, 2020
What Trump's Payroll Tax Cut Will Mean for You
Tax Breaks

What Trump's Payroll Tax Cut Will Mean for You

President Trump issued an executive order to suspend the collection of Social Security payroll taxes. How much could it save you?
September 17, 2020

Recommended

10 Things You'll Spend More on in Retirement
retirement

10 Things You'll Spend More on in Retirement

From reading materials to debt, the demands on your savings during your golden years might surprise you.
September 16, 2020
How to Catch a Rock-Bottom Rate
Buying & Leasing a Car

How to Catch a Rock-Bottom Rate

Rates on everything from home mortgages to car loans are at record lows. We’ll tell you how to qualify for the best rates.
August 27, 2020
Give Your Credit a Boost
Coronavirus and Your Money

Give Your Credit a Boost

When times get tough, your credit profile could take a hit. Here’s how to keep it in shape.
August 27, 2020
The Five Top Consumer Complaints
Smart Buying

The Five Top Consumer Complaints

Here are the top five complaints from a survey of state and local agencies from 19 states.
August 27, 2020