TrueLayer provides secure access to bank account data for Zopa’s new income verification process after becoming one of the first UK companies to receive FCA authorisation for Open Banking APIs
Zopa has launched a new income verification process using TrueLayer and data made available by Open Banking and PSD2.
The new feature makes applying for a loan quicker and easier by verifying a customer’s income through securely pulling in transaction data from their bank account rather the manual process of uploading a document.
TrueLayer became one of the first UK companies to be authorised and registered by the Financial Conduct Authority (FCA) to provide APIs under Open Banking and PSD2. The confirmation means that it has passed rigorous security, management and operations assessments.
TrueLayer provides an interface between financial institutions and third-party applications over an API. This enables companies to capitalise on new Open Banking and PSD2 rules by providing secure, clear and simple access to banking infrastructure. Zopa will use TrueLayer’s API and platform to quickly develop more products and services for consumers.
Francesco Simoneschi, CEO and Co-founder of TrueLayer, said: “Open Banking will revolutionise financial services by creating a range of new services, increasing competition and driving down costs. Our partnership with Zopa is just the tip of the iceberg in terms of what will be possible under Open Banking. It is an incredibly exciting time for the fintech industry.
“Consumer trust and business confidence in Open Banking and PSD2 will be underpinned by rigorous security. This is why we are very pleased to become one of the first companies in the UK to receive licensing from the FCA to provide APIs.”
Marie Steinthaler, Head of New Products at Zopa, said: “We’re proud to be pioneering the use of Open Banking and PSD2 by launching our new income verification feature, delivering a more seamless experience for our customers.
“Through our partnership with TrueLayer, we have created a streamlined and secure process, and have already seen very promising uptake from customers choosing to verify their income using this method. We look forward to creating an even better experience for our customers by making the most of Open Banking data, and we’re already working hard on our next set of innovative features.”
By using TrueLayer, businesses save a significant amount of time and resources, enabling a much broader range of companies to develop products that take advantage of Open Banking. Businesses can easily verify identity and account ownership using existing customer data; view accounts, check balances, and access transaction history. They will also be able to query bank accounts and cards to build powerful applications. Mitigating fraud and enhancing credit scoring modelling using detailed income and expenses data from users’ bank account will also be possible.
Hundreds of developers currently use TrueLayer, offering financial services such as lending, price comparison, account aggregation, and investing.Original Article