It’s lunchtime, you open your food app, browse and order what you want and complete your purchase within a few clicks and the wait for our food starts. The whole process takes under 5 minutes unlike your wait time of 30 mins or more. Without even realizing that we are interacting with various emerging technologies, we leverage the one-click option leading us to our ultimate goal - Purchase. But have you ever wondered how businesses are so easily able to integrate banking services within their apps to enable these purchases?
With the advent and rise in the adoption of fintech, it has become very natural to use digital services offered by businesses. Businesses aim to offer a seamless customer experience and the pandemic has changed the first preference to be a digital-first approach. There are many examples highlighting how an API-first approach has revolutionized customer experiences like signing in to digital accounts, payment through mobile wallets, or even the simple yet mandatory KYC update!
More and more businesses are offering these secure financial services that drive convenience. However, most of these services are integrated with legacy infrastructure. Most companies find it challenging to work directly with banks mainly due to faster go-to-market and lack of tech resources.
Solutions that can help bridge this gap
This is where technologies like API integration play a big role. API, or Application Programming Interface, is widely used in every industry. As per Slash Data survey, 90% of software developers bank on APIs to develop the core functionality of their applications. It helps in connecting customer needs and business data with systems and applications to unlock experiences that make customer engagement significantly better.
With platforms that provide such services, businesses can save both Capex as well as Opex by more than 90%, while launching a product. The solutions are mostly plug-and-play to enable any company looking for APIs to launch their financial solutions quickly.
With every company still finding its roots, most of them work with a lean team of developers, sometimes just one developer. These platforms enable even a company without a dedicated team to integrate these modules through reputed bank partners to embed banking & financial products.
Every company can be a fintech company in one or the other way and can now empower themselves with API solutions that can bring the highest level of automation. This will also save them the hassle of going through long-drawn integration cycles & broken APIs provided by legacy institutions. Making it completely hassle-free, such platforms also take care of all the upcoming fixes, underlying iterations, and automatic updates without breaking any flow at any point in time. Companies can select customized modules and integrate them in the sandbox, test it, and go live.
Financial technology platforms offer several modular products such as:
- Accounts: Business, Virtual, & Savings
- Helps users to create, link, and aggregate accounts for their customers, partners, or vendors. Enables businesses to fetch statements for analysis, check balances & limits, make instant money transfers, and provide hassle-free banking to their customers.
- Enables businesses to streamline their entire lending cycle from onboarding, disbursement, to repayments or launch their custom lending product like BNPL.
- KYC & Onboarding
- Enables businesses to run thorough background checks on users, verify them, and onboard their customers, partners, vendors using KYC, CKYC, and KYB.
- Cards as a Service
- Provides prepaid payment instruments such as cards & wallets for companies to issue and track & manage the spends of their customers, partners, or employees.
- Facilitates real-time money transfer via a multitude of methods such as bank transfers(NEFT, IMPS, RTGS), UPI, payment links, QR-based payments, & more.
With growing demand and new businesses launching every day, India needs fintech platforms that have a horizontal focus in BaaS, with modular solutions that aid a business in their journey across integrating various financial products. Be it identity verification before onboarding a user, facilitating simple & instant payments via multiple methods(UPI, QR codes, bank transfer), real-time payment reconciliations, business banking with accounts aggregation, linking, creation, lending as a product, prepaid payment instruments via virtual & physical co-branded cards, buy now pay later, and much more!