Data Sharing, APIs and Privacy in the Financial Services Industry presented at GlobalPrivacySummit 2019

by Adrienne Allen, Sara Hoffman, Gretchen Ramos,

Summary : Data sharing has been part of the financial industry for years and is often accomplished through an application programming interface (API). APIs are a convenient way to enhance the delivery of financial services to both retail consumers and business customers. Traditionally, the open banking model has allowed financial institutions to share banking data to be shared through APIs, but now it is being used to transfer money or cryptocurrency and, in some instances, directly by customers. The benefits of such sharing are endless; however, given the sensitive nature of the data there are also inherent risks. During this session, our panel of financial/fintech in-house counsel will discuss: (1) the benefits of APIs; (2) the potential risks in sharing; (3) the current and proposed regulations in the U.S. and Europe that impact APIs (Know Your Customer (KYC), Payment Services Directive (PSD2)); and (4) the steps companies might take, such as governance models, to protect the privacy and security of personal data.What you’ll take away:The various privacy and security issues that must be addressed in relation to data sharing via an APIThe regulations impacting the financial industry's data sharing practicesAn understanding of the need and possible structure for an internal API governance model