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I don't know how this insanity still exists. Sharing login data with third parties is likely violation of bank ToS and might deprive you of fraud protection (ba

I don't know how this insanity still exists. Sharing login data with third parties is likely violation of bank ToS and might deprive you of fraud protection (bank might argue that you were grossly negligent by sharing credentials). I guess acceptance of that crazy scheme is regional thing. Paypal tried to pull that over here but they backed out after a week of extensive backlash. And EU mandates that banks provide APIs in PSD2 directive.

Spivak 6y ago
I mean PayPal still right now today does it for the “verify your bank account” feature.
- hnick 6y ago
  I don't think they do in Australia... how odd. As far as I recall this article is accurate. They send two small amounts and ask you to type it in to confirm it came through. https://www.paypal.com/au/smarthelp/article/how-do-i-confirm-my-bank-account-faq3045 https://www.paypal.com/au/smarthelp/article/how-do-i-confirm...
asidiali 6y ago
I recently needed to add a personal Chase account to a business Chase account to send a transfer. I kid you not, their own account linking flow used Plaid to collect my Chase(!) personal credentials and verify my Chase(!!!) personal account, within their own web UI while actively signed into my account. Granted, there is capability in that UI to link any external account, so you can sign into other banks. But I mean come on...at least implement something secure for your own damn accounts!
- brazzledazzle 6y ago
  You can almost smell the internal bureaucracy and dysfunction.
- viraptor 6y ago
  This may be a case of an external account in practice. There are many banks running the retail and business accounts under a similar corp name, but in practice they're separate entities which don't share infrastructure or processes. (I'd love to know the reason, I'm sure someone here knows the details)
baby 6y ago
There’s just very little way around it :/ if I want to transfer money between different banks or services it’s usually much faster by giving out your creds. Worse, if I want to do my taxes Turbotax simplifies that whole process tremendously if I give them creds for all my financial services... it’s pretty crazy how much trouble you must be willing to accept to avoid leaking your creds.
TechBro8615 6y ago
It’s the Uber/Airbnb model. Plaid does something totally unacceptable as a trade off for a good service. Eventually the bank APIs will catch up, Plaid will become secure, and they’ll have the dominant market position with a high cost of entry.

Spivak 6y ago

I mean PayPal still right now today does it for the “verify your bank account” feature.

hnick 6y ago
I don't think they do in Australia... how odd. As far as I recall this article is accurate. They send two small amounts and ask you to type it in to confirm it came through. https://www.paypal.com/au/smarthelp/article/how-do-i-confirm-my-bank-account-faq3045 https://www.paypal.com/au/smarthelp/article/how-do-i-confirm...

asidiali 6y ago

I recently needed to add a personal Chase account to a business Chase account to send a transfer. I kid you not, their own account linking flow used Plaid to collect my Chase(!) personal credentials and verify my Chase(!!!) personal account, within their own web UI while actively signed into my account. Granted, there is capability in that UI to link any external account, so you can sign into other banks. But I mean come on...at least implement something secure for your own damn accounts!

brazzledazzle 6y ago
You can almost smell the internal bureaucracy and dysfunction.
viraptor 6y ago
This may be a case of an external account in practice. There are many banks running the retail and business accounts under a similar corp name, but in practice they're separate entities which don't share infrastructure or processes. (I'd love to know the reason, I'm sure someone here knows the details)

baby 6y ago

There’s just very little way around it :/ if I want to transfer money between different banks or services it’s usually much faster by giving out your creds. Worse, if I want to do my taxes Turbotax simplifies that whole process tremendously if I give them creds for all my financial services... it’s pretty crazy how much trouble you must be willing to accept to avoid leaking your creds.

TechBro8615 6y ago

It’s the Uber/Airbnb model. Plaid does something totally unacceptable as a trade off for a good service. Eventually the bank APIs will catch up, Plaid will become secure, and they’ll have the dominant market position with a high cost of entry.