American Express today announced an agreement with Plaid, a data network that powers the digital financial ecosystem, for an API-based integration that will provide new digital banking options for customers while enhancing their account security. Millions of American Express customers will now have the ability to connect with even more safety to Plaid’s 8,000+ connected apps and services across the digital banking ecosystem, without having to share their American Express password with a third-party. This is particularly important as U.S. consumers, on average, use three fintech apps to manage their finances.

Integrating the services Plaid powers with the American Express’ Account Financials API offers customers transparency and control over where and how their financial information is permissioned and shared. The integration also removes the need for customers to share their American Express credentials with any other party besides American Express in the ecosystem. The integration allows the customer to leverage American Express’ secure authentication procedures designed to enhance the security of their transaction before releasing their account financial information to the third parties they trust.   

“This agreement reflects American Express’ commitment to providing our customers with the security, control and transparency they want when sharing their account data with financial apps of their choosing,” said Danielle Cloud, Senior Vice President, Enterprise Data Governance & Platforms, American Express. “With Plaid, we’re taking another key step in our effort to create a safer digital experience for our customers in a world where people increasingly rely on a variety of digital tools to manage their finances.”

American Express’ Account Financials API allows customers to share their financial data, while also maintaining the privacy of their user credentials. The many benefits to American Express customers include:

• Enhanced Security – Supported by the OAuth2 protocol, the Amex Account Financials API provides customers with more control over where and how their financial information is being accessed and shared.
• Greater Reliability – Customer-directed account information is shared in real-time.
• Increased Control and Transparency – Customers can now more clearly understand and better manage their connections to financial service provider apps and have better visibility into where their data is going and what data is being shared.
• Fewer Sign-on Disruptions – Thanks to the API integration, connections are more stable, and may last for longer periods of time, enabling easier sign-ons.

“At Plaid, our mission is to help all consumers benefit from safe and reliable access to their data,” said Christy Sunquist, Head of U.S. Financial Institution Partnerships at Plaid. “We are thrilled to partner with American Express, a storied brand fundamental to the financial lives of so many, to facilitate secure connectivity for their account holders to thousands of apps in our network.”     

The launch of the API-based integration with Plaid is set to begin in 2023.