The API Standardization Industry Group in the US has named the first five application programme interfaces (APIs) that it will develop to support payments industry advancement. The five APIs were chosen from a list of 16 and were selected according to criteria such as the cost to implement and potential return on investment, the significance of the pain point, or opportunity the API addresses and its impact on the security of transactions. The larger list of 16 APIs contains three priority use case categories of: fraud and risk reduction, data sharing, and payment access. The five APIs chosen for development focus on the following functionality:
- account validation/Federal and state tax payment receiver account validation for credit payments;
- get account balance/get account history;
- get bank contact information;
- interoperability; and
- transaction status.
Nacha's George Throckmorton, also the API Standardization Industry Group lead, said: “Work in the API Standardization Industry Group is progressing rapidly. To assess the payments pain points and opportunities of today, identify the possible APIs to address those pain points and opportunities, and then ultimately select the APIs to develop first, in such a short amount of time, is truly commendable. We are excited with the progress to date and look forward to continuing our work to bring API standardization to the US financial services industry.”
CTMfile take: This is a step fowards for the US payments industry and will eventually improve the payments experience for corporate treasurers too.
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