Instantor's FinTech Glossary

Most common terms used on Instantor's website and documentation.

AISP - Account information service provider is a category of companies that are allowed to access information from end-users - e.g bank customers - and to provide this information to other parties - such as credit companies. Instantor is categorised under AISP as we aggregate end-users' data - with the end-user's consent- in order to provide information to our clients.

AML - Anti-money laundering, is a mechanism used to reduce illegally obtained income. This is important since banks and financial institutions are required by law to only accept legitimate money. The Instantor AML feature does so by detecting unusual and large amounts of money transaction when aggregating data from the end-user - with their consent. If such transaction is detected, Instantor will flag this for the client's awareness.

API - Application programming interface is the gateway for using other companies' services on the internet. For example, a bank is able to open an API in order to get the customer's name while giving the customer's number. At Instantor, our API is public for our clients to use it.

Data Aggregation - Refers to a process of extracting information from bank customers' account - with their consent. Instantor is specialised in data aggregation and in creating reports with the information extracted in order to send to our clients.

Encryption - Is the process of encoding data - such as names and numbers - so they can not be seen by unwanted parties. Using algorithms (mathematical formulas) this data is turned into codes. A key is required in order to be able to turn the code back into useful data. At Instantor all the reports and data sent to the client are encrypted for security reasons.

FinTech - Short version for financial technology, an industry in which Instantor is one of the big players. The fintech industry is known for software and technology management in the financial sector.

GDPR - General data protection regulation is a European law made to protect user's personal information in order to prevent it to be saved and used by companies. The regulation limits the extent of time that the data can be saved in a database. Instantor is fully compliant with GDPR from our first performance. All personal data is deleted after been sent to our client.

Identity verification - Refers to the identification of individuals done by comparing the input from end-user with the data aggregated from the bank. Instantor provides our clients with reliable, fast and fully digitalised identification details.

Instantor Request Id - Instantor creates a report for each login made by an end-user - whether if it is a successful login or not. The Instantor request ID is a unique code to identify a login. This tool is very useful when investigating an error that a client has reported to Instantor since it helps our data team to find that specific error while saving investigation time.

JSON - Stands for JavaScript object notation and is a popular open-standard file format that represents data of any kind. Instantor uses JSON and XML format in the report that is sent to the client.

KYC - Refers to know your customer and is a way to authenticate users and prevent identity fraud. Instantor runs KYC processes and identification check in every report we sent out to our clients.

Machine Learning - Is the study and implementation of algorithmic and statistical models for computer systems in order to progressively improve their performance on a specific task. With more data aggregated, the system will model and create patterns to make predictions. Instantor uses machine learning in our back-end processes in order to deliver the best results to our clients.

Onboarding - Is the process of integrating a new customer into a new program. This process can vary from each company, but the general concept is to get customers operating. At Instantor, onboarding means the whole integration process counting from the moment when a customer is interested in using our service all the way to when Instantor' service is operating in their daily banking activity.

Open Banking - Is a term in financial technology that refers to the transparency and access of banking data by third parties. Thanks to open banking, AISP companies such as Instantor can access data of bank customers.

PSD2 - States for payment service directive version 2 and is a law that enables third-party providers - such as Instantor - to manage the finances of bank clients, both consumers, and businesses. Instantor will always be given access to banks in countries where PSD2 is operating, which in this case are EU countries.

PSP - Payment service provider is an online service that enables retail businesses to accept a variety of electronic payment methods. Instantor does not act as a PSP since there are no payments made via our services. We are instead specialised in data aggregation of bank accounts in order to improve credit risk management from financial institutions.

SSO - Single sign-on is a method used to authenticate users so they are able to access different applications at the same time while using only one login credential. Instantor connects end-users to hundreds of banks in various countries. Different banks have various ways to authenticate end-user and single sing-on one of them.

Transaction history - Summary of all past bank transactions that the account holder had until the present moment. In Instantor we use transactional history as a source to calculate the credit risk score.

Transactional data - Refers to data which is resulted from banking activities. In Instantor, all our solutions help you understand this data and use it to manage credit risk scoring.

XML - Stands for extensible markup language and it refers to a markup language and format that has been widely used in the programming context. Just like JSON, the XML is also one format of Instantor's reports. XML is however more difficult to be read than JSON.