Body
FinTechs belonging to this area offer traditional banking services in a modern way, usually through online services or mobile applications as well as ancillary services – e.g. enabling customers to manage their giro- or custody-accounts online and in real time or offering e-wallet services. Keywords in this context are also API-Banking or Banking as a Service (BaaS)/ Bank as a Platform (BaaP).
API-Banking:
API stands for application programming interface and is offered to access data banks and to extract and insert information. API-Banking consequently means the access to data banks of banks to offer new and innovative banking applications.
Through these services FinTechs offer services with new functions, e.g. enabling customers to manage their accounts online and in real time.
BaaS – Bank as a Service/BaaP – Bank as a Platform:
The API-based Bank as a Service platform has a full banking licence, but merely serves as the back end for standalone independent FinTechs, which “use” the licence and the back end of the bank to offer new financial services, launch additional financial products or expand into additional markets.
Introduction
Attitude of the country towards online-banking services
As of the date, no FinTechs operate in this manner in the Dominican Republic. To our knowledge, only one major bank has announced an open API ecosystem. However, the Superintendence of Banks has stated in industry events that it would like to push banks towards creating and publishing API, which could potentially create such a market.
Legal affairs
Obligations and requirements to provide online-banking services described above
There are no specific legal requirements for BaaS or API Banks. However, the requirements set forth to operate a bank do require the bank to have at least one physical office.
Additional comments regarding the legal situation for online-banking services or what FinTech’s must be aware of in this business area
Major banks offer their own online banking and mobile banking solutions for their customers.
Economic conditions
Market size for online-banking services and biggest companies in this business area
Information is not readily available.
Additional comments regarding the economic situation for online-banking services or what FinTech’s must be aware of in this business area
N/A