Data

JPMorgan Chase and Envestnet | Yodlee sign data sharing agreement

  • As part of the deal, Chase customers can share their financial information with more than 1,200 third-party apps.
  • Envestnet | Yodlee is working on more deals with major FIs.
close

Email a Friend

JPMorgan Chase and Envestnet | Yodlee sign data sharing agreement

JPMorgan Chase and Envestnet | Yodlee have signed a data sharing agreement providing a framework for the bank’s customers to share and use their personal financial information to make better informed financial decisions.

What’s happening: As a result of this agreement, millions of Chase customers will be able to send their financial information to more than 1200 third-party apps on the Envestnet | Yodlee platform.

  • The core elements of this new agreement include better privacy and security controls, connectivity, and reliability, according to Envestnet | Yodlee CEO Stuart DePina.
  • Chase customers previously needed to provide personal credentials to aggregate data from third party apps. Those credentials were retained on the website and app. Now, that goes away, similar to how single sign-on works.
  • “This will help our customers manage exactly who they give their information to, and understand how their information will be used,” said Bill Wallace, head of Digital at Chase. “They also can cancel that access anytime they want.”

Envestnet | Yodlee moving ahead: Envestnet | Yodlee has 20 years experience aggregating data in the financial services industry. The firm is working to leverage its industry relationships as it prepares for the future.

  • “For the past 18 months, we’ve dug in deep thinking about how to enable clients — both FIs and fintechs — to better deliver greater financial insights to their consumers,” said DePina.

Data as currency: Consumers want more guidance from their financial institutions and they want their bank accounts to talk to their fintech apps.

  • As the data aggregation industry matures, it’s moving away from aggregating data via screen scraping.
  • This deal with Chase and Envestnet | Yodlee uses APIs specifically designed to decrease latency, improve transparency, and simplify the registration process.
  • There’s also a data and analytics layer that Envestnet | Yodlee can feed back to Chase by enriching its data. If enabled, this could give Chase insights into its consumers, their profitability, and how to better support them.
  • The data aggregator is also developing some new analytical tools that benefit the end user. “By using the residue of consumer data, we can benefit the end user, so they can do things like understand and manage duplicate and legacy expenses,” said DePina.

Working with fintechs: This is the second major data sharing agreement within the last six months for Envestnet | Yodlee.

  • Envestnet | Yodlee signed a deal with Citi earlier in 2019, but that didn’t include the technical improvements included in the new Chase deal.
  • The firm is working on several of these next generation with large FIs.

“We think financial institutions have been looking for capabilities to elevate their value propositions,” said DePina.

“We’re seeing a greater number of firms like Chase leverage providers like us to meet the needs of their customers. This marks a shift from institutions doing it themselves to turning to third parties. The marketplace is recognizing that investments in fintech are starting to pay off.

0 comments on “JPMorgan Chase and Envestnet | Yodlee sign data sharing agreement”

Data

Building the underlying pipes for safe data transfer: How Akoya is using APIs to scrape away screen scraping

  • Screen scraping is getting old. Akoya favors an API-first, fully consumer-permissioned approach that takes care of consent, security, and storage all at once.
  • Standardization and prioritization continue to be the biggest challenges faced by API-first approaches, but Akoya says it is used to getting the hard work done first.
Rabab Ahsan | June 29, 2022
Announcement, Data

DataDay Conference 2022: All session videos

  • Tearsheet’s DataDay Conference focuses on financial data and the ecosystems currently being built by data aggregators, banks, payment firms, and fintechs.
  • Here are the full videos from the sessions we held on June 21, 2022.
Shabih Rao | June 24, 2022
Data, Sponsored

Cash flow underwriting: A BNPL solution

  • BNPL is undergoing a serious growth spurt. But with legacy data reporting systems galore, the new payments trend is putting lenders in a tough spot.
  • Using cash flow and cash data to determine credit worthiness could be a solution to the problem.
Nova Credit | June 01, 2022
Data, Sponsored

How we can stop using the term ‘financial inclusion’

  • Our current credit system has led to decades' worth of errors and financial exclusion.
  • But as consumers get more autonomy in their financial decision-making, lenders may have to finally change their ways.
Nova Credit | April 26, 2022
Data, Sponsored

Our credit system is broken — now how do we fix it?

  • Our current credit system has led to decades’ worth of errors and financial exclusion.
  • But as consumers get more autonomy in their financial decision making, lenders may have to finally change their ways.
Nova Credit | April 12, 2022
More Articles