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DEFINITION

API Integration

API integration refers to the process of connecting different pieces of software so that they can communicate with each other and share data. This communication is done through Application Programming Interfaces or APIs and is the foundation of most modern tech stacks. In banking, this means that banks can safely work with third-party vendors to efficiently perform key processes such as KYC/KYB or payment services.

Synonyms

System integration, software interlinking

Acronyms

API

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Synonyms

System integration, software interlinking

Acronyms

API

Examples

A bank looking for an efficient, automated onboarding system can utilize Atfinity’s API in order to seamlessly integrate our solution into their system. All of the customer data is then fed into the bank’s core banking system and connected software, such as CRM and CLM solutions. The entire process is done seamlessly due to Atfinity’s API being properly integrated with the bank’s core systems.

FAQ

By properly integrating third-party APIs, banks can utilize best-of-breed solutions to fully optimize and streamline their processes. Without the use of APIs, the bank’s development team would need to build and maintain all of the different software the bank needs, which would be both impractical and very costly for most businesses.

The vast majority of banking processes can be outsourced and integrated from a third-party via an API integration. Common use cases are onboarding, KYC/KYB, mobile banking capabilities, loan automation, and so on.

Based on how the API integration is intended to be used, a distinction can be made between public, private, partner and composite integrations.

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