RBC announces partnership with clients to increase security and control of financial data

RBC has announced a partnership agreement with both Plaid and Envestnet | Yodlee aims to provide clients with better access and control and to securely share financial data with off-bank applications. ..

These data access agreements eliminate the need for RBC’s 14 million clients to share their bank logins and passwords with third-party applications, providing a more secure and privacy-focused experience. The new partnership will give RBC clients access to a combination of over 7,000 fintech applications, providing a variety of additional tools to help them manage their finances.

partnership

Plaid is the first company in application programming interfaces (APIs), and its data connectivity solutions help customers securely connect to the corporate network of over 6,000 fintech applications. Plaid-powered tools give consumers access to a variety of financial wellness applications.

Peter Tilton, Chief Digital Officer of RBC’s Personal & Commercial Banking, said: “Our clients want a key banking relationship with RBC, but they also want to have the ability to access, use and share off-bank applications and financial data. In providing added value, it is important to provide it in a safer and more reliable way than ever before. This agreement with Plaid will do just that. “

In addition, the Envestnet | Yodlee platform helps RBC clients better manage their finances and build wealth by connecting and sharing RBC’s financial information to more than 1,500 third-party applications.

“Many of our clients continue to choose to do primary banking at RBC, but they also prefer to use third-party applications such as apps for money management, budgeting, financial insights, etc. We want our clients to continue to be able to use these applications, but we use them in a secure way to be more secure and protect our data and their privacy, “said RBC’s Vice President of Digital Components and Platforms. Shekher Puri says.

With the latest partnership, clients use APIs (programmatic connections between computers or computer programs) rather than screen scraping (the act of copying information displayed on a digital display for use by another user). You can now use the fintech app to do. Purpose), to enable more detailed management of personal information.

“Therefore, clients actually have the authority to share certain elements of the required data and can change and undo onboard. They have that access and control and are much better. It has a user experience, “says Puri.

How to use

When a client downloads a fintech app with one of the data aggregators, the client selects the financial institution with which they want to share the data. The client is then redirected to his institution, where a consent request is presented, where the client provides consent to allow the bank to share certain data elements.

Digital fraud is on the rise

As digital fraud continues to be an ever-increasing threat to Canadians, security measures within financial institutions will be strengthened at the right time.

According to the February RBC 2022 Fraud Prevention Month poll, 48% of respondents said that fraudsters have been increasingly targeted since the start of the pandemic, 22 of 2021 respondents. It is more than doubled compared to%.

Also, Canadians are not only feeling an increase in fraudulent attempts. Canada’s Fraud Center reports that ID fraud cases targeting financial qualifications have nearly doubled between 2019 and 2020 to more than 9,000 to 17,000, and the final number in 2021. increase. It is expected to double again.

In addition, the Center reported a fraudulent loss of C $ 379 million in 2021, compared to C $ 160 million in 2020. When it comes to financial losses, investment fraud is at the top of the list.

“As fraudsters are aware that their clients are increasingly digital, fraud is increasing towards the digital side. We deploy a variety of industry-leading digital security tools. We’ve taken a lot of steps to do this. Perform a PIN on your device, perform a digital identity verification, and perform a two-step verification. Fraud monitoring to ensure that your clients continue to be securely deposited in the bank. We’ve enhanced the functionality of, “says Puri.

He added that RBC ensures that all participants in data sharing must meet the minimum thresholds in terms of security and security when it comes to third-party platforms.

“Clients need to know that the fintech sharing the data meets some level of these minimum security standards so that they can feel secure. They are operating this app. , If you share data with this app, your data will be protected, “he said.