The PNC Financial Services Group, Inc. PNC and Plaid, a fintech company specializing in data transfer networks, have entered into a bilateral data access agreement. This agreement intends to help PNC customers across the United States to securely and efficiently share their financial data with their preferred financial applications through Plaid.
PNC is utilizing Akoya as its Application Programming Interface service provider to facilitate the secure transfer of customer financial information to authorized data recipients. It is to be noted that the integration of Akoya Data Access Network into PNC Financial's subsidiary, PNC Bank, was announced in 2021.
PNC Financial and Plaid are pleased to work together to help PNC clients maintain greater control over the tools they utilize to live a stable financial life.
PNC's agreement with Plaid to enhance customer data security and efficiency comes at a time when other major banks like Wells Fargo & Company WFC and U.S. Bancorp USB are also enhancing their API technologies.
Last week, WFC expanded its APIs portfolio with the launch of specialized APIs for its Commercial Banking clients. This automated setup permits effortless data transfer among trading partners, reducing delays in sending and receiving information. In June, USB's wholly-owned subsidiary, Elavon, launched the Elavon Cloud Payments Interface. This advanced API is intended to simplify managing digital and in-person payment experiences for hotels and other entities related to hospitality.
PNC's Management Comments
Natalie Talpas, executive vice president of Digital and Payments at PNC, said, "PNC's use of its Akoya-provided API allows for all data recipients, including Plaid, to get connected fast, while also enabling customers to reliably control what financial data they permissions without having to share their login credentials with third parties."
"Through this new partnership with Plaid, PNC customers will be able to achieve greater data security, privacy, and control while using the third-party financial apps and services they enjoy" stated Talpas.
Final Words on PNC's Latest Agreement
PNC's data access agreement with Plaid highlights the bank's commitment to enhance its digital banking while empowering customers with greater security and control over their financial data.
Such a strategic move to enhance customer data security will further solidify PNC's customer loyalty and attract new clients seeking advanced secured digital solutions. This could lead to increased transaction volumes and higher revenue streams.
Over the past month, shares of PNC have gained 20.2% compared with the industry's growth of 8.7%.
Image Source: Zacks Investment Research
PNC Financial currently carries a Zacks Rank #3 (Hold).
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