Plaid is a fintech company that acts as an intermediary between financial services apps and users banks and credit card providers. It is used to connect your financial accounts to eligible apps and services of your choosing. Plaids software sits as an intermediary between your bank or credit card accounts and other financial companies apps. Plaid authenticates your financial information, permitting the apps to access only the relevant information required to carry out functions that youve authorized. Plaid is free for everyone who uses a Plaid-powered app, allowing you to securely connect your bank account to the apps you want in just a few seconds.
Plaid is used by more than 4,500 companies to connect users to other third-party financial applications, including Venmo, Acorns, Betterment, and many other fintech companies. Plaid currently connects with a variety of large bank and credit card companies including Bank of America, Wells Fargo, American Express, and U.S. Bank. Plaids API allows countless applications to link bank accounts seamlessly. Developers simply request Plaids API keys and then create a free account to utilize these keys to link financial information safely and quickly.
When you sign up for any of the 3,000+ financial applications currently powered by Plaid, youll be asked to choose your financial institution from a Plaid-provided list. Next, youll enter your login ID and password. Once youre logged in, Plaid securely shares the information youve chosen to link, such as your checking account number, with the app youre using. Plaid obscures your login data to protect you, only sharing the information that you choose.
Plaid claims to use best-in-class encryption protocols to protect users information. Plaid uses the highest levels of security possible to keep your information safe. When you link your checking account with a financial application through Plaid, the company instantly encrypts sensitive data and shares it with the application using a secure connection. Plaid will also never share your login and password info with the linked financial apps.
