FinTech companies have until the summer to get on board with JPMorgan’s new data access agreement or risk being cut off from accessing the investment bank’s data.
JPMorgan has told FinTech firms that they have until July 30 to sign its data access agreement and to back a plan to stop using customer passwords to gather the data, according to sources speaking with Reuters.
If FinTech firms fail to sign the agreement, the will be blocked from all automated access to the data, including screenscraping or collecting data from one app to another.
The scheme is part of JPMorgan’s efforts to make accessing customer data more secure.
Industry stakeholders have so far often used passwords or aggregators to gather the data needed to provide their services.
From now on, any FinTech that would like to tap into JPMorgan’s wealth of data would have to use an API instead.
JPMorgan was reported to be looking into banning FinTech firms’ access to its data as part of a cybersecurity push in January, but now it seems as if the company has taken steps to make the plans a reality.
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