Sharing financial information can assist you in improving your business operations and increase your revenue. It can also reduce your costs. It’s important to look at the following factors before deciding to share your financial information with third party.

1. Verify that the service is Legitimate

Certain use cases (such a mortgage closing that requires immediate access to a potential lender) are best served when the customer grants one-time access, while others require access to and share massive amounts of information over a prolonged period of time. Regardless of the approach it’s important to examine the company, app or platform’s reputation and follow its history in the industry. Find reviews on third-party websites, app stores, and other media.

2. Consider the Breadth of Data Sharing

Consumers and financial experts are of the opinion that financial technology, also referred to as fintech banks, apps and applications should modernize their practices for sharing account information of customers to avoid security risks, like hacking and identity theft. They’re also skeptical that this will benefit, since many people still feel confused by the current way of data sharing. It can be perceived as a patronizing approach and limit the potential for understanding.

Banks and fintechs may offer a dashboard that lets customers control how their account data is shared with the services they use, including budgeting tools, credit monitoring applications and go to the website even home value and mortgage tracking. For example, Wells Fargo, Chase, Citi and Plaid all allow customers to view which accounts have been shared with these services and to monitor their settings through their dashboard.