User Permissioned Bank Account Access (Finicity)
Audience: Upper Management, Developers, Administrator, Compliance, Data
It probably goes without saying, but it's easier for lenders to collect on loans if borrowers will put a payment profile on file. This payment profile can be used for AutoPays or one-off payments, but it's easier for the borrower to authorize either of those if they already have a payment profile on file. There are two ways that bank account information can be gathered. The customer can either provide it directly, or they can authorize retrieval of the information from their bank. This is typically done by providing login credentials for their financial institution to a service that will then retrieve the account and routing number and, usually, some transaction information.
LoanPro's integration with Finicity enables this method of retrieving payment profile information. The basic process is this:
Finicity pulls the following data:
- Routing and account number
- Account type (e.g. Checking, Savings, etc.)
- Current available balance
- Date of most recent transaction
- Transaction history (up to 6 months of history preceding payment profile creation date depending on account age)
- Account owner name
- Associated Address
This article will go over how to enable the Finicity integration, how to embed the form, and how to link the payment profile to a LoanPro customer.
How The Finicity Integration Works
Enabling the Integration
If you haven't enabled the integration, log in to your Secure Payments account and navigate to "Banking Insight Providers".
Click "View agreement" to view and sign the Finicity agreement.
Review the agreement thoroughly, then click "I Accept The End-User Agreement", if you choose to use the service.
Now you are ready to use the service.
Embedding the Form
As was mentioned, Finicity enables users to give permission to use their bank information. They do this through a form that looks like this:
To embed this iframe, add the following HTML snippet to your site:
<iframe src="https://securepayments.loanpro.io/api/service/finicity/capture-form/<YOUR OBO TOKEN>?capture_type=single">
<p>Your browser does not support iframes.</p>
You can find this snippet within Secure Payments by navigating to Banking Insight Providers > Finicity, then clicking the "Start integrating" button.
In order for the iframe to work, you'll need to do two things.
- Replace <YOUR OBO TOKEN> with an OBO token for your secure payments account. You can find your OBO token by navigating to Profile inside Secure Payments.
- Make sure that the "iFrame creation" action is turned on. This can be done in Actions > Finicity inside of Secure Payments.
Once those two things are done, you can add the iframe to any HTML page and the form will show.
Using the Finicity Form
The Finicity form will allow a user to look up their financial institution and enter login credentials. This will bring up a list of their accounts. They can choose as many accounts as they would like. Once they click "Submit", the payment profile will be saved in Secure Payments and the iframe will return the payment token.
The payment token will be returned by the iframe as JSON, and will look something like this:
If multiple accounts are selected when linking them through Finicity, multiple payment profiles and tokens will be returned. The results will look like this:
Tokens can then be used to link the payment profile to the customer.
Allowed Financial Institution: Finbank
Passwords: profile_03, profile_04, profile_05, profile_06, profile_07, profile_08, profile_09
Different passwords correspond to different financial data.
Common Uses & Questions
The most common use for this feature is to as a convenient way to let the user give permission to add bank account as a payment profile through a convenient, secure form.
Upper Management Use
Will this feature help me make payments? Finicity is not a payment processor, and payments can't be made through this integration. However, this is a great way to pull payment profile information for your borrowers.
Can I get ongoing bank account information from this feature? Not yet. This integration will give you more information about bank accounts than other integrated services, but it will not yet allow you to pull ongoing transaction information from bank accounts.
Can I use this feature as an underwriting tool? No. The information pulled through this features is not designed to be used in underwriting. It would not be in compliance with FCRA to use this information for that purpose. Additionally, some lenders like to pull information about borrowers bank accounts in order to determine if a loan should be given. LoanPro does not specialize in origination and this feature will not fit well into the origination flow.
Now that you know how to get payment profile information through Finicity, check out our article on payment processing.