We explain what an API (Application Programming Interfaces) is and how this technology facilitates open banking .
The advantages of open banking include offering customers a global view of all their financial assets.
Open banking will allow for a wider range of financial products and services. It will also offer customers a better view of their positions in the different financial institutions they work with.
According to a survey conducted by open banking platform Tink , there is a positive attitude towards open banking within European financial institutions. According to this survey, 70% of C-level financial executives see opportunities in open banking .
The main financial institutions in our country already have open banking platforms . These platforms allow them to share their clients' financial information with finland email list third parties, with their consent and under the conditions approved by them. To do this, they use what is called an application programming interface or API .
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What is an API and what is it used for?
An API ( Application Programming Interface ) is a set of protocols, commands, functions, and tools used by developers. It makes it easier for different software applications to communicate and interact with each other.
To give some examples, APIs allow applications such as Facebook and Linkedin to communicate with Twitter to share an article on different social networks. It is also used to make online purchases. Thus, when the user enters their card details, the API sends the information to another application that verifies that the bank details are correct.
In order for open banking to work , banks are activating APIs that are open to third parties . These applications make it easier for external software developers to create programs or adapt their software applications thanks to the information provided by the APIs.
Open APIs make it easier for accounting applications to integrate banking transactions into their programs. For this reason, it is advisable to rely on innovative accounting programs that are constantly updated.
Sage's Accounting and Billing API allows other software developers to integrate their applications with Sage software . This allows them to develop custom applications to meet specific needs or increase the efficiency of their applications.