Getting to Know the Importance of Bank Account API Access

Importance of Bank Account API Access

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Getting to Know the Importance of Bank Account API Access Have an e-wallet? Have you ever made transactions in e-commerce using e-money? Without you realizing, it turns out that you are one of the owners of the bank account API access. Is this the first time you have heard of this term? Please read this article to find out more!      

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What is the Bank Account API Access?  

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Bank Account API Access is owned by customers of banks that have implemented the Open Banking API to make it very easy for them to make transactions without having to come to the branch office. API is an Application Programming Interface, an intermediary technology used in open banking systems. Here's a detailed explanation.        

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Definition of Application Programming Interface (API)  

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An API is a messenger technology that receives and tells the system what you want to do. After knowing your requests, the messenger then returns a response from the system to you..      

Usually, this is used by banks and fintech to make it easier for their customers to make transactions. Customers who already have a Bank Account API Access and have registered an account with the API service will get the convenience of financial services.

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They can find out balance information, transfer funds, and know transaction history without having to come to the nearest branch office.      

If you are still confused, let's play an analogy. Just imagine you are in a restaurant. Imagine you are sitting at a table at which there are various menu choices.      

In the restaurant, there is a kitchen that is part of the system and will be in charge of preparing your order. For the order to be processed by the kitchen, it needs someone to deliver it.      

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Also, so that the order can reach you, the kitchen needs an intermediary and the intermediary is a waiter. The API in this case is the waiter.          

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Example of Application Programming Interface (API)    

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One of the service providers of Application Programming Interface (API) in Indonesia is Brick. The company is building a fintech API for tech companies in Southeast Asia.      

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Brick users are customers who already have Bank Account API Access can connect their banking account to the application and access various financial services.      

Brick provides account aggregation services, and revenue verification that can help a tech company complete their application, and offers identity verification.    

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Application Programming Interface Functions  

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API is very easy-to-use and provides benefits to developers. Some main functions of the API are as follows:        

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Reduce server workload  

Fintech company servers that use API services do not need to store all the data of potential customers. By using only the API, they can directly get data from the origin server.       Thus, the company's server will not carry a heavy burden.        

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Faster and more effective in developing applications  

If you want to develop an application, developers don't need to connect two applications to communicate with each other.      

Developers only need API help to communicate with each other. Thus, the process of adding various services to an application can run faster.        

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Creating structured and more functional applications  

If you want to add information to an application, the developer no longer needs to input it manually. The API can do just that.      

Although it greatly simplifies the performance of developers and transactions made by Bank Account API Access owners, this service also has drawbacks. One of the Disadvantages of Application Programming Interface is prone to hacking due to poor security. ***