Fintech Takes Fintech Recap: Plaid Pays Chase, FBI Circles BaaS, and FICO Tries AI
Oct 1, 2025
In an intriguing discussion, hosts dive into Plaid's deal with JPMorgan Chase, revealing the costs and implications for open banking. The FBI's investigation into Evolve raises eyebrows, especially with ties to international money movements and potential criminal charges for bankers. FICO's announcement of a new AI model sparks debate about its effectiveness and target audience. Meanwhile, the hosts reflect on being labeled 'partisan' and scrutinize Tether's troubling valuation amidst audit concerns. Expect a lively exchange filled with fintech drama!
AI Snips
Chapters
Transcript
Episode notes
Plaid’s Deal Rewrites Open-Banking Dynamics
- Plaid paid JPMorgan Chase for API access to avoid legal and commercial risk and to stabilize its path to an IPO.
- The deal forces other aggregators and regulators to rethink open-banking fee dynamics and market power.
Higher API Fees Hurt Pay-By-Bank Economics
- Payments use cases are priced higher by banks, which damages pay-by-bank unit economics and helps card networks.
- Chase’s strategy likely aims to hobble pay-by-bank rather than completely shut aggregators down.
Regulatory Certainty Evaporates After The Deal
- The CFPB rulemaking now faces altered facts on the ground after the Plaid–Chase deal, reducing the likelihood of a blanket prohibition on fees.
- Any CFPB outcome will likely trigger legal challenges and prolonged litigation.