Shared financial data can aid in improving your business operations, increase your profits and cut costs. However, it’s important to remember the following considerations before making a decision about sharing your company’s financial data to external third parties.
1. Check to Make Sure Services Are Legitimate
Certain use cases (such a mortgage closing that requires immediate access to a prospective lender) work better when the user grants only-once access, while other require the ability to tap into and share massive amounts of information over a long period of time. Regardless of the doncentholdingsltd.com/how-do-vdrs-essentially-eliminate-the-need-for-physical-presence-during-ma-process approach, it’s critical to review the app, company or platform’s reputation, and keep track of its track record in the industry. Look for reviews on third-party sites as well as app stores and media.
2. Think about the vastness of sharing of data
Financial experts and consumers agree that banks and fintech apps need to modernize the method they share account data to guard against security risks, such as identity theft or hacking. However, they’re skeptical that this will benefit since many people are perplexed by the current notion of data sharing, which can feel unwelcome and limit the possibility of gaining insights.
Fintechs and banks can offer a dashboard to let customers manage the way their account information is shared with the apps they use, such as budgeting tools, credit monitoring apps and even home value and mortgage tracking. For instance, Wells Fargo, Chase, Citi and Plaid all let customers see what accounts have been shared with these tools and manage their settings from their dashboard.