According to CNBC, PMorgan Chase has negotiated agreements that guarantee it will be compensated by the fintech companies responsible for almost all data requests made by third-party apps linked to consumer bank accounts.
According to JPMorgan spokesman Drew Pusateri, the bank has amended contracts with fintech middlemen that account for over 95% of the data pulls on its systems, including Plaid, Yodlee, Morningstar, and Akoya.
In a statement, Pusateri said, We’ve reached agreements that will make the open banking ecosystem safer and more sustainable and allow customers to continue reliably and securely accessing their favorite financial products.” “The free market was effective.
The milestone is the most recent development in a protracted conflict over client account access between traditional banks and the fintech sector. For many years, when a customer wanted to use a fintech app like Robinhood to monitor balances or withdraw money, middlemen like Plaid paid nothing to access bank systems.
When the Biden-era Consumer Financial Protection Bureau finalized what is known as the open-banking rule in late 2024, mandating that banks share customer data with other financial institutions at no cost, that dynamic appeared to be codified in law.
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