Fintech Plaid is launching a new product for income verification for loans, including non-digital loans such as auto loans. It will also roll out a new taxonomy and more support for customer privacy.
The San Francisco-based fintech unveiled its plans Wednesday at Plaid Forum, its virtual user conference, offering a glimpse at its strategic roadmap. The San Francisco, Calif. company’s suite of APIs allow applications to connect with users’ bank accounts.
Plaid chief executive Zach Perret started the conference with a brief look at Plaid’s Fintech Effect survey, conducted with Harris Poll.
“In our last survey, eight in 10 consumers say that one of their top priorities when choosing a new bank is its ability to interconnect with all of the digital financial products that they rely on,” Perret said. “What’s more, 80% of people say they have greater trust in fintech to manage their finances. Trust, privacy and security have long been at the core of what we focus on at Plaid.”
To that end, Plaid launched “major improvements” to its portal, Perret said, allowing consumers to manage the connections between all their financial accounts and applications.
Some product announcements from the Plaid Forum include:
A new product called “Income” speeds income verification by allowing users to share data from bank statements, W2s or pay stubs, said product lead Kate Adamson. In beta since March, the solution is ready to launch, and supports both one-time and ongoing permissioning to an application, useful for supporting the mortgage process.
Plaid also added income verification to support the auto loan process and other situations in which a lender might not have access to a digital loan application.
“We learned that there are a number of scenarios when customers want to verify income outside of an online application, for example, at an auto dealership when you’re trying to buy a car, you’re not in front of a digital loan application,” Adamson said. “So we’re working on a new feature that makes it possible for you to send your customer a text message or an email with a link that then they can use to verify their income directly.”
The new Plaid Portal gives users a centralized way to manage and control how their data is shared across the financial ecosystem. It also allows users to delete any of their data that has been stored by Plaid, said Design Manager Adam Panasowich.
In addition, Plaid announced upgrades to its Transaction product, which allows financial institutions to view users’ transaction history, and the launch of Signal, a new offering that uses machine learning from millions of ACH transactions to analyze single transactions for risk and fraud reduction.
Editor’s note: This article first appeared in Bank Automation News, a sister publication of Auto Finance News.
Auto Finance Summit, the premier industry event, returns October 27-29 in Las Vegas. The Summit continues to bring together the best and brightest in the industry year after year for unparalleled networking and professional education. To learn more about the 2021 event and register, visit www.AutoFinanceSummit.com.