Technology has forever changed finance across all use cases: wealth management, credit, banking, and companies coming into the industry. So, what is FinTech? FinTech helps consumers and business owners live better, healthier financial lives through cutting-edge technology and tools. It doesn’t discriminate against any device or browser. FinTech is accessible and changing quickly.
Founded with a vision of bringing disparate data together to make personal financial management accessible, easy, and actionable, Yodlee is an original FinTech innovator with tremendous growth in the space since 2012—making us the best partner for businesses looking to innovate in the financial services industry because we’ve seen it all.
Revolutionizing an Industry
The Power of FinTech
Between 2017 and 2018, the velocity of global FinTech funding increased at an astounding rate. Nearly $57+ billion was invested into FinTech during the first half of 2018, a huge step in revolutionizing an industry that’s slow to evolve.
The influx of funding is, in large part, due to the rise of Open Banking, which empowers customers and forces established banks to be transparent with their data. It’s the practice of sharing financial data electronically, securely, and exclusively under conditions approved by customers. APIs give third-parties access to financial data quickly and efficiently. This opens the floodgates for FinTech startups who can disrupt the industry more swiftly than a large, established institution.
There’s a worrisome trend of people who don’t have a good grip on their finances, and there are huge barriers for them in regard to improving their credit scores, capital lending, and more. In fact, 4 in 10 Americans don’t even have $400 in savings to cover an emergency expense—forcing them to borrow money if an emergency does arrive, according to a report from the Federal Reserve Board.
At its core, FinTech fights back against this trend. It gives everyone the ability to improve their financial state because good FinTech is focused on customers and their financial well-being. Envestnet | Yodlee solutions meet them where they are with the tools they need.
Our technological innovations, and those of our partners, provide better experiences for customers in developed countries, while giving developing countries access to tools from more modern banking systems that were previously out of reach. FinTech means financial empowerment, and, in turn, customer loyalty for the companies and FSPs that do it well.
On top of it all, data captured through FinTech and for FinTech innovations help to improve the technology and rapidly makes great tools even greater. Yodlee leads the way in two key areas of FinTech development:
Thanks to data aggregation, FinTech startups can provide superior tools and customer experiences. Delivering financial data from more than 17,000 global financial sources, the single unified Envestnet | Yodlee Platform API enables personalized and powerful aggregation solutions. By leveraging our solutions, financial services providers (FSPs) are able to give customers access to industry-leading financial tools. Customers can get a holistic view of their assets and link accounts from various institutions while financial institutions can use the information to provide better financial advice, evaluate lending opportunities, and more.
The future of FinTech is in artificial intelligence (AI). Artificial intelligence is transforming the way customers and banks interact. AI has the capability to identify how customers are going to react to various situations and problems, making the financial industry decisions smarter and quicker. The capabilities come to life through our revolutionary financial assistant, Envestnet | Yodlee AI FinCheck, that dynamically measures and monitors consumers’ financial health to deliver personalized insights and recommendations alongside financial coaching. And, of course, our AI solutions continue to evolve, so our partners are always on the cutting edge.
What Can FinTech Do for Developers?
Developers need financial data and transaction data to power their solutions. Having worked with developers for decades, we know they need intelligence around fraud detection, account verification, and a slew of other data points.
Our services accelerate growth with sample code, informative images and videos, language support, and developer tools. Plus, we have the compliance and regulatory knowledge to make sure everything is up to par.
What Can FinTech Do for Financial Services Providers (FSPs)?
FinTech doesn’t have to mean starting from scratch. It can complement an existing experience like improving an online portal or mobile experience for a bank. FinTech can give customers the ability to understand their net worth and improve their financial health. Envestnet | Yodlee tools give FSPs the ability to look at assets outside of their organization—a crucial capability for financial planners who need to see a complete picture to provide the best advice. In the realms of credit and lending, FSPs may want to see nontraditional assets or measure customers in nontraditional ways; data and intelligence from our Credit Accelerator solution and other services can make that possible.
At the end of the day, financial technology enables financial services institutions to provide better customer service and, in turn, increase customer satisfaction.
The time has never been better to partner with FinTech.
Financial Technology on a Global Scale
As a market leader, Envestnet | Yodlee is the only truly global data aggregation service with physical offices around the globe. We are at the forefront of influencing Open Banking on a global basis in the UK, Australia, New Zealand, Canada, Hong Kong, India, and elsewhere.
Open banking is, at its heart, about consumer financial data and the customer’s ability to access it, share it, and protect it. It’s a major topic of discussion in global banking circles as more non-bank financial services providers pop up, and as more firms try to gain insights into people’s financial lives and regulations. in places like Europe Open Banking is reshaping how companies are handling data.
At Envestnet | Yodlee, we actively embrace the right of consumers to access their financial data and share it with the service providers of their choice. Open Banking regulations will standardize access so consumers and can safely exercise their choices.
As Open Banking continues to evolve, the Envestnet | Yodlee Platform API will help you meet and exceed current Open Banking challenges when it comes to the management, reliability, and enrichment of data so you can deliver the best overall customer experience. We offer solutions to help financial services providers with data management, data reliability, and, of course, data enrichment that allows FSPs to provide rich, actionable insights. We don’t just provide data. We clean it up and make it clear, leveraging sophisticated machine learning so that it’s standardized and ready for use in whichever FinTech tool you’re crafting.