JPMorgan Plans Fees for Fintech Customer Data Access

JPMorgan Chase plans to begin charging fintech companies fees for access to customer bank account data, a move that could significantly disrupt the fintech industry’s current business models, especially for payment-focused firms like PayPal and Block. The bank has sent pricing sheets to data aggregators, with fees varying by use case, and these charges are expected to take effect later this year but remain subject to negotiation. JPMorgan emphasizes that the fees are intended to support investments in secure infrastructure to protect customer data. This decision has already impacted stock prices of major fintech and payment companies, with PayPal and Block shares falling notably. Analysts offer mixed forecasts on JPMorgan’s stock, with some potential downside indicated by valuation models. Discussions between JPMorgan and data aggregators are ongoing, aiming to balance fintech access with infrastructure investment and customer security concerns.