In the U.S., where open banking is not mandated as it is in the European Union and other countries, fintechs offering solutions like financial planning apps, person-to-person (P2P) payment apps, and retailer payment wallets are running into problems getting banks to allow access to consumers’ data.
The Wall Street Journal reported that consumers who want to open a
Venmo account and connect it to their bank account at PNC need to do so the old fashioned way, by entering their routing and transit number and their bank account number rather than their digital banking credentials.
PNC has blocked account verification access offered through Plaid and used by many fintechs who are looking to gain access to consumers’ banking transactions and current balance. PNC is not the only one.