Hi! My name is Matt and I’m a financial professional.
Our world is becoming increasingly connected which has made it essential for companies to offer customers services that make their lives easier and more enjoyable, whenever and wherever they choose. Closed legacy platforms at most banks are severely restricting these organizations from adapting to the changing customer landscape.
Using open APIs can enable your institution to create new products and business models faster, reduce the costs of legacy system integration, and monetize the assets that have traditionally been locked in. While the term open APIs scares many business leaders, there are different kinds of open APIs to use, each with their own consumers, providers, goals, and controls.
Private Open APIs
Private Open APIs are programmatic interfaces that are exposed and used in order to create and maintain applications completely within an institution. They could be low-level APIs that integrate with the core banking systems or higher-level APIs that are used by business analysts to compose new functionalities.
Partner Open APIs
Partner Open APIs are created in order to integrate with a select ecosystem of partners, typically to implement specific functionality, products or services on behalf of the consumer. These are operational points of integration which can include SLAs, governance, and security.
Public Open APIs
In order to encourage innovation, or to monetize institutional data, banks may create public APIs to allow 3rd party firms to access those resources. These access points are more limited in access and are tightly secured.
Thanks to the variety of open APIs you can choose from, your bank can now have robust governance of an API environment to achieve success without sacrificing the reliability and quality of service.
If you want to learn more about banking with open APIs, click the link below for more information.