FinTech Automation (FTA) has been named technology partner for open banking within Mastercard’s Engage partner network, the company announced Wednesday (August 3).
According to a press release, the program offers businesses a network to access technology partners who can build open banking solutions for digital payments and lending decisions.
“As we move from the information to the digital age, how we move information is as important as the data itself,” said David Park, FTA’s executive director. “Mastercard and FinTech Automation are key to that movement.”
Based in Dallas, FTA helps companies build a digital financial hub that uses open banking services that allow businesses to establish direct consumer access to customers’ bank accounts.
With these consumer authorization connections, businesses can verify accounts for payments and withdrawals, check balances to reduce payment errors, and reduce fraud by verifying account ownership. The FTA said this has improved the digital payment experience for both businesses and their customers.
“FinTech Automation’s inclusion in the Engage partner network leads to fewer contracts, faster customer access, improved data security and increased overall flexibility to better leverage Mastercard’s robust open banking services,” the company said.
Related: FTA, Finicity Partner Open Banking Data
Earlier this year, FTA began another Mastercard-related partnership when it signed an agreement with Mastercard company Finicity to access consumer information for secure account validation and ownership when new accounts are set up.
The scheme allows consumers to link their primary accounts used to deposit funds to a new investment account, which will reduce the risk of verifying the owner of an account.
“Secure account opening is a must-have for financial institutions, and open banking data can improve the process and reduce the risk associated with digital account opening,” said Andy Sheehan, Finicity president and chief operating officer, in the joint announcement.