Let’s break down the three-letter acronym that seems to be top-of-mind for many fintech leaders today:  A-P-I.

Put simply, an Application Programming Interface (API) is a “software interface that allows different systems to talk to each other,” and when it comes to payments, many systems need to connect to complete just one transaction (give our Spiderweb blog a read to get a better idea of the complexities).

APIs play a crucial role in Financial Services fintechs by enabling custom capabilities previously unavailable to them through siloed legacy systems. When companies incorporate the right APIs, they unlock opportunities to tailor client experiences, provide new seamless apps, increase service offerings, and ultimately, optimize backend processes and bottom lines.

And, while it may seem like a simple endeavor, many companies fail to find the right payments partner (with the necessary integrations) for their business needs, often falling prey to “one-size-fits-all” solutions or having to stitch together their own ecosystems.

The reason for this is simple: fintechs don’t have a full picture of what goes on in the back end and don’t fully understand the many challenges that would prevent them from providing customers with what they’re looking for: reliable access, speed, security, and flexibility.

It’s for that very reason that Qolo built their API set from the ground up, to provide fintechs with direct access to payment rails and enable them to navigate the complexities of the global financial ecosystem seamlessly.

Not all API's are equal

Conceptually, open banking sounds great, but the reality is it’s not pain-free. For one seemingly simple transaction to occur, you may need to rely on multiple banks, apps, and third-party providers to get it done.

That’s why integration is complex, especially when you consider the additional factors fintechs need to take into account including data privacy and security, a lack of tech expertise, unexpected demand surges, cross-border operations, regulatory compliance, and the growing need for cloud-based solutions.

While some APIs promise to cover all the bases through one integration, fintechs often find out – at great cost – that this single API is nothing more than a modern interface; undercutting the full value potential of open banking. What fintechs really need are comprehensive APIs that handle the backend complexities reliably, providing flexibility and configurability to access new payment capabilities, so their teams can focus on what matters most: their core product and customers.

Qolo’s API: Fit for All

Our cloud-native, omnichannel payments platform has been built intentionally to tackle these challenges head-on, powering any form of payment over any channel. Through Qolo’s single API, fintechs have the flexibility to directly access multiple payment rails, account types, risk assessment tools, and treasury management, among other services.

Let us break it down for you.

Simple and open

Qolo's unique modular approach to payments offers a wide range of custom features from a single integration with a single, open API gateway. It’s 100% cloud-based nature enables greater functionality and can be accessed globally where an internet connection is available.

Qolo’s clients have access to these payment solutions that provide them a competitive advantage:

- 10+ payment types

- 20+ transfer types

- 100+ functions

Use Team Qolo as your spotter

For the complex backend operations involved in developing fintech solutions, our APIs handle all the heavy lifting:

- Card issuing: virtual and physical card processing

- Account creation

- Single, universal ledger

- AML compliance

- Layered risk/Fraud mitigation

And when it comes to payments, on the Qolo platform, every type of money movement is handled fundamentally the same way. We perform the following payments not just within a single API set, but from A SINGLE API:

- ACH: next day and same-day ACH that is secure, compliant, and reliable

- Push to debit: movement of funds to bank-issued debit cards in real-time

- Card acquiring: card acceptance on the same API as issuing and digital wallets

- Cross border: high fees, time lags, and third-party charges eliminated

We built one platform with the capabilities fintechs need to succeed in the digital economy, all while ensuring core elements like risk/fraud prevention, regulatory compliance, and operational aspects are met every step of the way. Because Qolo’s team of seasoned payments professionals know what it takes to get things done right, we recognize the importance of seamless payment experiences. It’s why we’ve worked hard to build a solution that gives fintechs a solid footing in the digital economy and is known in the fintech spheres for its unique platform and service.

With a single API gateway, fintechs have a secure, stable foundation to build on, enabling them to create user-centric financial products and services, equipped to tackle potential disruptions and provide seamless payment experiences for their customers. Learn more about Qolo’s API set now.

Darren Beyer found his passion for payments after working at NASA and is a founder/ Chief Product and Strategy Officer at Qolo, payments platform of the future .

Other Posts