French fintech Lydia is partnering with financial API startup Tink, for its open banking app features. Lydia started as a peer-to-peer payment app but its vision has evolved to become a financial ‘super app,’ by letting customers control their bank accounts and access various financial services, according to a report in Tech Crunch. In France, customers can connect their Lydia account with their bank account using Budget Insight’s Budea API.
Over the coming weeks, Lydia will switch over and use Tink for some clients. It will review customer accounts to determine which it works better with Budget Insight or Tink.
“It’s going to be a progressive rollout and we’ll use the best service depending on our users,” Cyril Chiche, Lydia co-founder and CEO said in the report.
Open banking is a broad concept and covers many different things but for Lydia it’s about account aggregation and payment initiation.
In the app, users can connect bank accounts and view the most recent transactions. As for payment initiation, it lets users start a SEPA bank transfer from a third-party service.
Tink provides a single API that manages all the complexities of the information systems of European banks. Tink does the heavy lifting and translates each banking API into a predictable API can use for all banks.
Tink’s API supports 15 financial Institution in France, including major banks, N26, Revolut and American Express. And it covers a dozen European markets.