DigitalAPICraft is one of the reliable leading products and SaaS companies in the API and cloud engineering space. Their API solutions have been serving a number of businesses in various industries such as insurance, telecom, banking, energy, healthcare, retail, and media. They have a pre-built enterprise-grade API ecosystem seamlessly connecting APIs developers, consumers, product owners at one single API management platform. Now they have launched financial APIs that enable developers to programmatically access a financial institution's data without having interaction with their backend group of team.
Before we dive into the knowledge of API in financial services, it’s important to remember that choosing the right company is the most important task. There are several Financial API providers in India but they have loopholes in their technology and sell at a quite expensive price. It can lead your organization to ample loss of money along with time and effort. Approaching a trustworthy Financial APIs service provider such as DigitalAPICraft is the ultimate solution.

The Benefits of Financial APIs
APIs are one of the cost-effective and secure ways of sharing financial data. There are some gaps left by traditional financial services but Financial API integrations are going to fill this. This indicates that now financial companies have more opportunities to innovate new financial services which in turn offers quicker and better financial options for customers. However, the benefits of Financial APIs can be categorized into four groups: fintech companies, consumers, non-financial businesses, and financial institutions.

Fintech Companies
The introduction of financial APIs enables fintech companies to launch innovative financial services that deliver to millions of consumers. The entire ecosystem of FinTech companies has modified their customer’s expectations because they get real-time access to financial accounting information. This access to large new markets provides ample benefits by allowing them to generate new values and capture new market share.

Consumers
Financial services associated with APIs enable customers to have the quickest access to their funds in a more hassle-free manner. Consumers also get more opportunities when they join hands with Financial API integrated companies i.e. budgeting, lending, investing, and saving.
The introduction of innovative financial services has provided convenience, speed, and empowerment to consumers, investing platforms, budgeting tools, and many more.

Non-Financial Business
Financial API integration has opened numerous doors for non-financial businesses. They can now offer more financial services via embedded finance (also known as banking-as-a-service) to their customers.
For Example- Pay later options, buy now, insurance on higher-priced goods, and branded checking accounts.

The embedded financial product market is huge large. And, the new revenue expected by 2025 is approximately $230B.

Financial Institutions
API integration has given financial institutions more access to the data that was once quite complicated. Now all financial institutions can deliver more value from this ample source of data. APIs enable financial institutions to build new financial products. However, they can either integrate with external fintech partners or can build their own digital solutions.

These services have solidified the financial institutions and called them a “hub” at the center of customers’ financial lives. The major reason behind this is that the same amount can be connected to large APIs-connected apps and services making it more crucial. Now, If a consumer links their financial account to a fintech application via plaid i.e. there is an increase in their monthly average card spending limit by 28% as well as their transactions increase by 7%.

The Best Way to Build Financial Services With API Integration
Nowadays, more fintech companies are able to build new innovative financial services with the help of financial APIs integrated companies. But if your company wants to build a new financial service or an app, here’s an approach to follow to develop a service with APIs integration.

Step-1 Create Your Vision
The first and foremost step is to find out that service that can fill the market gap and enables you to get an edge over the competitors. Your new service can be a lending platform, a peer-to-peer payments app, financial management tool, or something really different. Firstly, identify the vision that may lead you to success in API integrated services.
Step-2 Comprehend the Type of Data You Need To Deliver Your Service
Now you have decided on your vision, it’s time to figure out what kind of user-permissioned data you need to develop your financial service.

For Example-
● For building a financial management tool, you might need access to the transaction history and balance of a customer.
● You might need users’ asses, liabilities, and income to build a loan application.

Whatever you need, it’s important to understand what kind of financial information is needed to develop an app.

Step-3 Integrate With an Open API Data Network
Once you gather the financial data that you need, it’s high time to connect with an open API data network. It offers safe and secure open API integration to retrieve the data for your customers. This data network is quite helpful in API integration between the consumer’s financial account information and your financial app. Note that, the financial information will be shared with the user’s permission.
When it comes to a data network, one must have to consider several factors like an option, security, user safety performance, and transparency.

Thus, one can say that financial APIs are the glue of the ecosystem holding financial institutions, fintech companies, and consumers together. It offers security, convenience, and financial freedom.

About Company
DigitalAPICraft helps businesses seamlessly connect with financial account data ( user-permissioned) via API integrations for building endless possibilities of financial apps and services. They enable you to build a vibrant, hyper-personalized, and active Banking API ecosystem that unlocks business value. They have been serving the insurance, telecom, banking, energy, healthcare, retail, and media. They are dedicated to offering all-round API services enabling businesses to make triple revenue in the business. Joining hand with this company will be nothing more than a golden opportunity to take your business to next level.

Visit our website:https://digitalapicraft.com/