Tell HN: Coinbase will not allow ACH transfers without Plaid • Hacker News Board

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#11

Post by altairprime » Thu, Jan 18, 2024, 11:39 PM UTC

nostrademons wrote: post #2

This change was announced on November 23 2022 (over a year ago), they sent an e-mail to customers with subject line "Secure Bank Account Linking Through Instant Verification". There was a bunch of discussion on Reddit when it was announced, it looks like it might've been reverted due to customer outrage at one point, but it seems to be back and unavoidable: https://www.reddit.com/r/CoinBase/comments/100aw7h/forcing_c…

Plaid supports oauth when banks do, but many banks are still hostile to “account access that doesn’t contain their in-app or on-site advertising upsells”, even when it’s secured safely rather than through credentials sharing.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#12

Post by valrix » Fri, Jan 19, 2024, 12:34 AM UTC

mistrial9 wrote: post #8

westhanover wrote: post #5

Earlier quoted context omitted.

There have been several nonpublic data leaks from Plaid and also massive issues with improper internal access to data.

this comment would be improved with links or other verifiable info

https://www.plaidsettlement.com/

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#13

Post by rhyme-boss » Fri, Jan 19, 2024, 1:07 AM UTC

toomuchtodo wrote: post #9

File a CFPB and FTC complaint.

Done, thanks.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#14

Post by anderber » Fri, Jan 19, 2024, 2:04 AM UTC

zug_zug wrote: post #6

Yuck, Plaid is the one that wants access to all your transaction history and to share it, right?

I'm not sure but I know they need you to put in your bank's login information, which is a huge no for me.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#15

Post by earthling8118 » Fri, Jan 19, 2024, 2:32 PM UTC

anderber wrote: post #14

zug_zug wrote: post #6

Yuck, Plaid is the one that wants access to all your transaction history and to share it, right?

I'm not sure but I know they need you to put in your bank's login information, which is a huge no for me.

This is only if your bank doesn't support oauth for them to use. Which seems to be most banks but not all of them. For example if you use Chase you don't need to give Plaid any info.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#16

Post by aketchum » Fri, Jan 19, 2024, 2:47 PM UTC

This is likely a way for Coinbase to outsource KYC. Plaid gives you regulatory backing to prove you sent the funds to the person you think you did. There are other ways of course but this is an "easy" way for Coinbase to not have to worry about that.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#17

Post by toomuchtodo » Fri, Jan 19, 2024, 3:41 PM UTC

rhyme-boss wrote: post #13

toomuchtodo wrote: post #9

File a CFPB and FTC complaint.

Done, thanks.

Thank you for taking the time.

Re: Tell HN: Coinbase will not allow ACH transfers without Plaid

#18

Post by the__alchemist » Fri, Jan 19, 2024, 5:11 PM UTC

I can no longer transfer money to my business bank account: Novo, as sometime recently they also require plaid. I've been unable to get plaid working; will probably have to close the account.

I feel like a sucker for even entering my bank username in password in the Plaid login, but that didn't work.