Xero’s customers will have greater security, more control over the Wells Fargo data they choose to share with the third-party service
SAN FRANCISCO - Wells Fargo & Company (NYSE: WFC) announced today it had entered into an agreement with international software firm Xero. The agreement creates a business relationship between the two firms and creates an innovative and more reliable data-sharing platform for Wells Fargo small business customers who use Xero’s accounting software to manage their finances. The new method of data sharing between Wells Fargo and Xero – driven by an innovative new application-programming interface (API) – gives small business owners enhanced online security and greater control over what bank information they choose to share with the accounting software firm.
“We’re very pleased that Xero is the first major technology company to join us on the journey of creating a more secure and customer-focused model of sharing data between companies that have common customers,” said Brett Pitts, Head of Digital for Wells Fargo Virtual Channels. “In an era of increasing concern about the security of electronic financial data, it is time to move toward more secure and more reliable data exchange methods. As a result of this agreement, we’re creating a much better experience for our shared small-business customers, who will benefit considerably from the improved process that comes out of this innovative agreement.”
This integration between Wells Fargo and Xero will provide a secure and simple solution for joint customers that delivers their financial data directly into the platform where they run their businesses.
The new method of data sharing is driven by an API, and creates a secure, tokenized “handshake” between the companies’ servers. It is similar in many respects to how some websites allow customers to log in with popular social media accounts. The API eliminates the need for Xero customers to share their Wells Fargo usernames and passwords, and the need for Xero to store them in order to retrieve Wells Fargo account data.
“We routinely counsel our customers to never share their username or password,” said Pitts. “We are glad to provide a system that enables our customers to securely access their account data in third-party software, gives our customers more control of the data they share, and removes their credentials from the data sharing transaction.”
The enrollment process is easy and is designed to work seamlessly in Xero’s software:
- When Xero customers are logged in to the service and wish to set up or add a Wells Fargo account, they will now be directed to a Wells Fargo secure server to begin the enrollment process.
- After the customer logs directly into Wells Fargo online banking, they’re presented with a “Connect Accounts” page, where they can select which accounts and data they wish to share with Xero. This gives customers control of the data they want to share.
- After confirming the account information, the customer is then directed back to Xero. Data sharing between Wells Fargo’s servers and Xero’s servers is then done via a unique token that identifies the customer and the customer’s accounts.
“The customer has so much more choice and control with this new model,” said Pitts. “Customers choose exactly what information they want to share with Xero, and the customer’s credentials are never stored outside of Wells Fargo.”
“We are delighted to integrate with Wells Fargo to connect small businesses to the financial services they need to grow and thrive,” said Rod Drury, CEO of Xero. “Xero, together with Wells Fargo, will help small businesses capture a true picture of their financial standing and empower our mutual customers to better access financial services, giving them greater control over their data. We believe this will fundamentally rewire how small businesses operate, and light a fire in the engine room of our economies.”
The new data exchange model will begin rolling out for new Xero customers who have Wells Fargo accounts in July. Wells Fargo customers who are currently using Xero will be moved to this new service beginning in Q4 2016.
About Xero
Xero is beautiful, easy to use online accounting software for small businesses and their advisors. The company has over 700,000 subscribers in more than 180 countries. Xero boasts more than 500 third‐ party integrations, and was ranked No. 1 by Forbes as the World's Most Innovative Growth Company in 2014 and 2015.
About Wells Fargo
Wells Fargo & Company (NYSE: WFC) is a diversified, community-based financial services company with $1.8 trillion in assets. Founded in 1852 and headquartered in San Francisco, Wells Fargo provides banking, insurance, investments, mortgage, and consumer and commercial finance through 8,800 locations, 13,000 ATMs, the internet (wellsfargo.com) and mobile banking, and has offices in 36 countries to support customers who conduct business in the global economy. With approximately 269,000 team members, Wells Fargo serves one in three households in the United States. Wells Fargo & Company was ranked No. 30 on Fortune’s 2015 rankings of America’s largest corporations. Wells Fargo’s vision is to satisfy our customers’ financial needs and help them succeed financially. Wells Fargo perspectives are also available at Wells Fargo Blogs and Wells Fargo Stories.
