The two platforms want to pioneer the first wave of Open Banking products and services.
TrueLayer, a London-based fintech which creates APIs for platforms to access data from mainstream financial services providers and banks, has partnered up with Zopa to support the peer-to-peer lender’s new income verification process.
Using data made available by Open Banking and PSD2, Zopa’s latest income verification tool uses TrueLayer’s API verifies a customer’s income by securely pulling transaction data from their bank rather than requiring a document upload.
Zopa also plans to use its partnership with TrueLayer to foster in development of more products and services that utilise Open Banking data. But they’re not the only ones, as digital bank Monzo partnered with TrueLayer last month to support its API service for a third-party marketplace.
“We’re proud to be pioneering the use of Open Banking and PSD2 by launching our new income verification feature, delivering a more seamless experience for our customers,” said Zopa’s head of new products Marie Steinthaler.
“Through our partnership with TrueLayer, we have created a streamlined and secure process, and have already seen very promising uptake from customers choosing to verify their income using this method. We look forward to creating an even better experience for our customers by making the most of Open Banking data, and we’re already working hard on our next set of innovative features.”
Francesco Simoneschi, CEO and Co-founder of TrueLayer, added: “Open Banking will revolutionise financial services by creating a range of new services, increasing competition and driving down costs.
“Our partnership with Zopa is just the tip of the iceberg in terms of what will be possible under Open Banking. It is an incredibly exciting time for the fintech industry.”
Zopa re-opened its platform up to new investors last month, after closing its doors in January 2017. The peer-to-peer lender also recently raised its target investor rates for the first time since 2015.