Does plaid just make it so the end user doesn't have to find their routing number and account number and enter those manually? But if my users are willing to do this then is plaid overkill?
- Verify that the account number and routing number are correct
- Provide a super tested UI that maximizes conversion
- Verify that the ownership info on the bank account matches the personal info the user gave you, reducing the risk of fraud
- Check that the account funding the transfer has sufficient balance so that the payment won't bounce
- Do other risk checks to identify the risk that the transfer will be returned, taking into account factors like account age and type
- Real time payments (this is new, we just announced it a few days ago)
- KYC compliance, if that's something you need to worry about with your use case
- NACHA-compliant UIs
I work at Plaid, and what I generally tell people is that if your use case involves a very small, select, patient, trusted, motivated, and knowledgeable userbase -- like a "friends and family" type scenario -- then Plaid might be unnecessary. If you're doing funds transfers for a wider audience and need to worry about factors like fraud, compliance, conversion, ACH returns, funds transfer speed, etc. that's where the benefits of using Plaid start to really make a difference.