Bridging the Gap: 21 Useful Integrations for Your Fintech ProductWritten by Nataliia on February 12th, 2018
Product owners, here’s your comprehensive overview of the best APIs in fintech to deliver seamless and streamlined customer experience.
A weary traveler has arrived at the airport in his hometown. He pulls out his phone and orders a Lyft, which picks him up in just a few minutes. While he is riding home, he decides that he is hungry. He picks up his phone and orders a takeout delivery from his favorite deli. When his food arrives, it has already been paid for, because his payment information is stored in the deli app that is also connected to his bank account.
Later that evening, he receives an alert from his bank, telling him that he has used more than his monthly budgeted amount for dining out. Looks like he will need to “brown bag” it for a while. It also informs him that the stock he had a sell order on has been sold because it reached his price point.
All of these activities are the result of fintech product integrations that make the user experience streamlined and seamless.
Whether legacy financial institutions or new fintech banking solutions, being connected to apps, data, and devices expands services and provides the convenience that today’s consumer demands. The example above demonstrate just a small amount of API integration into fintech ecosystems, but the potential is almost endless, given the number of API’s created in recent years.
If you are planning to develop a new secure fintech product, a mobile banking app or any other financial app, you can utilize a number of existing APIs instead of writing the code from scratch. Not only will you reduce the development timeline this way, but also benefit from the innovative tech stack.
So What is an API Integration?
The Application Programming Interface is a software intermediary that allows two apps to “communicate” with each other and exchange relevant information.
The web is full of API’s all sitting out there. If you are checking the weather, sending an instant message on Facebook or ordering food online, you are interacting with an APIs.
Now, programmers can connect multiple applications together and eliminate the need for a user to click through each one separately. The “wall” or gap that existed between these API’s has been eliminated. Thus, one click to the deli took care of ordering and paying both.
Essential API Integrations for Fintech Products
You have a fintech product, perhaps an online banking solution. You want to allow your customers access to all sorts of activity directly through your platform, via mobile or web. Of course, your customers can open an account online, and API’s can let them verify their identities, transfer money to individuals they have in their personal address books, and use any of the credit cards they have stored with you, without the need to enter card details when they shop.
As you consider integration tools, here is an overview of APIs in fintech that you will want to consider.
This is an all-encompassing financial data platform API that allows users to accomplish many things – providing financial data that crosses retail banking, credit management and more. Yodlee partners with 1000+ financial institutions and fintech enterprises, providing massive data networks. Access to this huge amount of data, allows fintech companies to utilize patterns of behavior and enable predictions.
In terms of authentication and verification, this API yields instant results, reducing fraud and risk. Rapid authentication also reduces consumer abandonment. As an open source platform, developers can access the latest API’s and incorporate them for most any fintech innovation.
This tool will let you authenticate and verify identity and financial data on 250 million companies and 4.5 billion people in over 80 countries. Its verification product is called GlobalGateway, and the verification process is almost frictionless and is all done with a single API. Companies such as ODFX and FundRazr are current customers of Trulioo.
Developers have two options for API integration – the Normalized RESTful API which allows full customization into automated processes or website, with a set # of data fields, or the XML Direct, a WSDL-based web service, in which there is full control over the “look” and “feel” and data fields.
# 3 Idology
Offers identity and age verification through a web portal, mobile access, and an API. Thus, verification solutions can be integrated with any existing third-party apps. This tool can be also used to set up a more advanced, yet user-friendly verification process.
ExpectlD IQ will ask the customer a series of multiple-choice security questions that would confirm the identity of the user; ExpectID Scan will help you streamline the photo ID verification process and ensure you receive proper documents and create a persistent mobile identifier to pair a customer with a specific gadget for additional security.
This tool also includes robust anti-fraud analytics capabilities; helps you tick all the global compliances boxes; and alert your organization about suspicious customer behavior that may be associated with money laundering and other illegal activities.
# 4 Gemalto
Gemalto is one of the leading digital security providers for business and has a number of API options for all manner of security services – user authentication, access control, home banking, e-commerce, and health care.
As a fintech product owner, you can greatly benefit from the next features:
- Enable phone-based second-factor authentication and consent-based digital identity management through Mobile ID.
- Secure on-prem or cloud data with the lightweight, yet robust SafeNet portfolio of encryption and key/crypto management solutions.
- Obtain universal compliance with different types of security frameworks and Secure Element issuers (such as device manufactures and/or mobile network operations) through the Trusted Service Hub.
- Offer biometrics-based security such as facial or fingertip recognition as a mean to identify the customer and validate their transactions.
- Create a seamless in-app payment processing experience. This off-the-shelf cloud platform comes pre-integrated with MasterCard and Visa.
# 5 Authy
This API uses a two-factor authentication process; developers can integrate Authy’s functionality with other applications or use it in the creation of new ones. You can create a safer customer environment by enabling Touch ID and PIN protection to access your app; encrypt and securely store 2FA data in Authy’s cloud; support offline 2FA token generation on the customer’s device and allow customers to securely sync their passwords across different device and OS.
# 6 Feedzai
Feedzai offers a fraud detection API which incorporates machine learning and big data to provide predictive analytics on transactions. Recently, the company updated the API, making it easier for developers to integrate with a number of parameters, including risk scores.
Customers like Coca-Cola, Vodafone, and Ericsson speak to this API’s reputation. Developers will find a platform guide on the company’s website, and the flexible architecture allows for customization for legacy banking institutions, fintech companies, and other niches.
# 7 Payfone
It is one of the most respected third-party security and authentication tools, through a patented technology. Developers can create an account and get access to the API’s, developer resources, implementation guides and configurable enrollment rules. With 6 of the 10 largest U.S. banks using Payfone’s API’s, Payfone was named by Deloitte among the top 100 fastest growing tech companies in the U.S. in 2017.
# 8 Gini
This tool was designed to eliminate the paper hassle associated with payments. It has some neat and unique payment processing features such as the photo payment. To pay a paper invoice the user simply needs to snap a quick picture and let the app handle text recognition. The payment data is then automatically filled in and verified within the app and SWIFT payment can be made instantly.
Besides that Gini allows creating professional invoices, automatically updates all your accounting records; enables streamline contract upgrades as the user only needs to snap a picture of their document, upload it to the app and have all the important terms updated in a few clicks. Additionally, Gini offers great functionality to create a simple personal loan application and approval process within your product.
They have extensive API documentation covering web, iOS and Android platforms and a free Ruby SDK.
# 9 Bill.com
Bill.com is a comprehensive platform developed specifically to assist medium and small businesses with online billing. It enables them to handle all sorts of payments including those to vendors, contractors, and clients. The platform offers instant integration with popular accounting platforms such as XERO, Quickbooks, Sage, and others.
Banks and online banking product owners can leverage this platform to offer a streamlined and secure payment solution to their B2B clients to handle ACH payments; automate related document processing and enjoy the built-in fraud protection. The app meets all FFIEC standards for authentication and vendor third-party management.
# 10 Traxpay
Traxpay is the go-to tool for larger companies that want to handle relationships with the vendors and suppliers more efficiently. The tool will be extremely valuable for businesses in highly regulated niches due to the following two features:
- Conditional Payments enable you to set specific parameters for incoming payments (such as invoices) to be contingent upon a certain event e.g. after the validated contract documents were uploaded. This feature will ensure that you will receive the funds only when the set of requirements are met. If you prefer, these conditions can be handled through unreachable blockchain-based contracts.
- Augmented Payment Data. If receivables reconciliation is a major problem for your business, you can greatly benefit from this feature. If you are running this ERP plugin to make a cross-border or domestic payment, it will create an enriched ISO 20022 file, which contains comprehensive invoice information and line-item details from the Buyer’s ERP system. This payment file is forwarded to the Buyer’s bank in the appropriate form before the supplier gets paid. The supplier will then receive all the transaction data (which is typically absent) in their preferred format. This will definitely reduce the amount of manual input needed to handle certain B2B payments.
# 11 Invoicera
If you are looking for a comprehensive solution to handle both one-time and recurring business payments, Invoicera is a solid choice. The platform offers a wide range of great features including a single dashboard to handle all client/vendor relationships; manage subscription payments; process payments online from 25+ global payment gateways; build a custom invoicing workflow to match your needs and control all the business expenses in a few clicks.
The only small con for developers is that by default all accounts have a request limit of 5000 (only create methods) API requests per day. Yet the rest methods have no request limits.
# 12 Uphold
It is an open API through which developers can create a robust and affordable money transfer application. Specifically, you can leverage Uphold to support low-cost money transfers in 34 currencies including crypto-coins such as Bitcoin. You can enjoy cross-border payments for the fraction of the standard cost. Uphold also offers great security functionality including Anti-Money Laundering (AML) and Know Your Customer (KYC) controls.
On its site, Uphold provides all of the API documentation developers will to need to create apps powered through its platform. There is full flexibility so that custom fintech needs can be met.
# 13 Currency Cloud
Moving money internationally is accomplished through a single API connection through this tool. Current users of this product, called Payment Engine, include Azimo, TransferWise, and xe.com.
The platform itself is built on newer technology which is less error-prone than traditional tools for foreign exchange trading. Integration through its cloud technology is relatively easy for developers, while customers will enjoy the next great features:
- A secure multi-currency e-wallet.
- Real-time wholesale conversion rates for operations in foreign currencies.
- Instant and secure payments to 122 countries worldwide.
- Automatic compliance management.
# 14 PayCommerce
For fintech trading startups whose needs include global trading, this tool offers a powerful set of payment API’s, connecting some 80 banks in over 72 countries. Integrating these API’s will allow a fintech enterprise payments, collections, and settlements in over 80 currencies. The fact that it partners with Dow Jones Risk compliance team speaks volumes about its efficacy.
The features you may find handy are the following ones: support the latest SWIFT functionality without constantly upgrading your product; securely conduct cross-border and domestic payments; take advantage of the payment tracker and conduct foreign exchange operations.
The best part is that you don’t need to worry about staying compliant as PayCommerce is KYC, OFAC, AML and PEP compliant.
# 15 Fortumo
Originally built for the app and game developers to set up mobile operator billing, this tool is one that fintech payment processing developers should look at seriously. There is operator billing in more than 100 countries with technologies that are easy and scalable for developers to integrate. A single API integration will work for payments on computers, tablets, smartphones, and even smart TV’s. This solution is highly customizable, through its SDK’s.
You can enable recurring multi-tier payments to match your business model; support offline and online in-app payments in 40 local currencies and localize your check-out page in 50 languages. Fortumo also has one highly competitive feature – the take care of the paying all the local taxes associated with international taxation on your behalf.
# 16 GoCardless
This tool allows any fintech developer to tap into a direct debit network and create a simple API that allows debit payments without a merchant account and without the normal credit card fees. The company provides the infrastructure and takes only a 1% cut on transactions.
There are similar API tools through Square, Stripe, and Dwolla, but this company is now considered as one of the hottest startups in the UK. On the GoCardless site, developers will find guides for integrating the company API, with details docs. This is one of the easiest financial services and fintech integrations for billing payments. Current users include The Guardian, TripAdvisor, and Virgin – pretty good company.
# 17 MasterCard
Obviously, this is a card processing giant in the fintech arena, offering a large array of API payment solutions for fintech integration. Fintech developers have access to a large API library – Simplify Commerce, Moneysend, Mobile UI SDK, Repower, MasterPass, Western Union transfers, and more. MasterCard is one of the most prominent third-party services in fintech, and it is clearly staying on top of the latest technologies for fintech developers.
# 18 Finxera
This company offers an API-driven approach to offering banking services – collection, storing and sending money using a very simple and secure technology. If a fintech enterprise wants to offer banking services in their applications, this solution looks great for developers. Finxera APIs enable an almost limitless combination of solutions. Developers can integrate validation of client’s identity, create bank accounts, collect money, and move money with options for either SOAP or RESTful methods. Users of some of its API’s include Yahoo Finance.
# 19 Xignite
With a huge API library, Xignite is used by such as Charles Schwab, TD Ameritrade, GE, Wealthfront and other “big name” companies. For fintech, its “FactSet Fundamentals” is a REST-based API that offers historical financials, earnings, fundamentals, and more relative to 170 global exchanges. This cloud-based API, along with all others that it has developed, can be easily integrated by skilled developers to create a robust stock market data product.
In the extensive API catalog you can find tools to create alerts for specific market events; offer advanced search functionality; offer global equity analyst estimates and consensus recommendations based on the data from FactSet Research Systems; display real-time and historical currency exchange rates and dynamics; deliver fundamental data for U.S. and Global funds and more.
# 20 Zerodha
KITE connect is a REST-like set of API’s the allows developers for fintech startups to build full investment and trading platforms for stocks, bonds, futures options, currencies, and commodities. The model is brokerage-free, something that makes it even more attractive. Integrating KITE Connect will give a trading fintech app all that it needs to appeal to traders such as real-time market analytics, universal stock search, an intuitive dashboard for managing stock orders, holdings overview and functionality to create a variety of charts (6 chart types, 19 drawing tools, 100+ indicators) visualizing different types of stock/market data.
# 21 Oanda
Developers have free access to this company’s fxTrade platform code, through its REST API. Developers can build customized apps on top of the platform. The company has also sponsored a number of hackathons, resulting in some additional applications, including Global FX, a data visualization tool for traders.
This API allows you enable trading for some 100 instruments including bonds, metals, commodities, indices and more, yet their main focus is forex trading for sure. The available functionality includes price localization; advanced financial reporting, real-time access to key players in the foreign markets. This is an excellent tool to automatically aggregate comprehensive FX data for ERP systems and fintech apps.
This list is by no means exhaustive, and there are some big players not included. But it does provide an overview of APIs in fintech that are available and that fintech developers are utilizing. Many of these financial products/tools are open source, allowing for great flexibility on the part of professional skilled developers to meet the needs of fintech startups.
Our Approach To Fintech Development
Romexsoft has a personalized and custom approach to the development of APIs through existing providers and platform API’s. We pride ourselves on lengthy discussions with fintech startups so that we can determine their needs and then identify those API’s which are the best fit for current and future ones. Our team approach to each development project ensures that our clients receive personalized and customized API solutions that are soundly integrated and match their needs.
Give us a shout out and let’s discuss how we can best meet your fintech business goals.