Bank of America, the second largest bank in the U.S., introduced a new API on Tuesday for its corporate treasury customers. Using the API, these customers can access their banking information and perform real-time transactions.
The bank believes that the API will improve its ability to collaborate with customers, fintech firms and third-party providers and says that the launch of the API is a demonstration of its commitment to the Payment Services Directive 2 (PSD2) adopted by the European Commission. As American Banker notes, while Bank of America does not have retail banks in Europe, some of its customers do business there.
Bank of America is engaged with customers interested in piloting the API through direct integrations and is working with a number of enterprise resource planning (ERP) and treasury management system (TMS) providers to integrate the API into solutions they offer. It is also in talks with third-party providers, such as fintech firms, about using its API to help their customers address working capital challenges.
"We want to embrace the innovation opportunities presented by APIs and work with industry providers to give our clients an expanded, secure experience that helps them grow and prosper,” Faiz Ahmad, Bank of America's head of Global Transaction Services, explained. “As the pace of technological change accelerates, expectations accelerate in tandem. Clearing systems, regulatory mandates and banking channels are evolving to support real-time interactions with unbundled banking services. Our clients will expect to integrate these directly into their business processes and applications. The experience will be easy, more secure and seamless to end users."
The specification for Bank of America's new API is available through its developer portal.