Direct Bank Feeds
BoxFreeIT has published a great interview with Yodlee’s Joe Polverari on bank feeds and Yodlee’s role in the US market.
There’s a lot of misinformation about the safety of Yodlee and the technology behind it so it’s great to see them come out and dispel some of the myths about how they work. Fears and doubts about Yodlee have long been quelled in the US – where Yodlee and products like it are the standard for aggregation services across the US banking system. Yodlee also happens to be the best at what they do.
In New Zealand and Australia, Xero has direct relationships with all the major financial institutions and a lot of the minor ones. If you have a small business banking account in Australasia, chances are we have a direct feed for you. Long term we believe direct feeds are the right way to go and we’re excited that banks are beginning to provide more elegant ways to get your banking data into our online accounting system. But it does take time to get them to move.
If banks do not provide direct feeds we use our partner Yodlee. We do this primarily in the US but also in the UK market. We offer Yodlee as an option in New Zealand and Australia where a financial institution has has not yet been able to provide data directly to us, but this is the exception rather than the rule. Yodlee feeds generally work well and we’re glad to offer them.
As Xero’s profile grows, an increasing number of banks are working with us to enable next generation direct feeds and new ‘two way’ services. When you bring Xero and financial institutions together in a compelling way, the sum is greater than the parts. We think these new integrated services are ground-breaking and will keep customers engaged and happy.
The US market has woken up to the potential of closer banking and small business accounting integration, awarding Xero Best In Show at the Barlow Research Client Conference for what we’re doing in New Zealand and Australia, and are beginning to do in the US, to bring banking and Xero’s online accouting closer together.
New Zealand and Australian financial institutions have also woken up to the benefits of working with Xero (see ASB’s announced innovation alliance). Xero has been invited by many banks to take an active role in their strategic planning of future small business services. We believe that if we demonstrate next-gen banking locally we can open the door for new services in our large markets where things take a bit more time.
There are some exciting new things coming for small business accounting and banking and we’re delighted to be a part of them.