Building Reconciliation with Generic Connector for Unsupported PSPs

Last updated: July 8, 2025

The Generic Connector is specifically designed to connect your Formance Stack with Financial Service Providers that are not natively supported by Formance. Here's how you can use it to enable reconciliation:

How the Generic Connector Works

The Generic Connector acts as a bridge between Formance Connectivity and your custom PSP integration:

https://docs.formance.com/modules/connectivity/connectors/generic/how-it-works

Implementation Steps

1. Create Your Integration Service

You need to build a service that:

  • Connects to your PSP using their specific API/protocol

  • Exposes data in the format expected by the Generic Connector API specifications

  • Handles authentication and data transformation

2. Install the Generic Connector

Install the generic connector with your integration service configuration:

fctl payments connectors install generic config.json

With config.json containing:

{
  "name": "my-custom-psp",
  "pollingPeriod": "2m",
  "apiKey": "your-api-key-for-authentication",
  "endpoint": "https://your-integration-service.com/api"
}

3. Authentication Setup

The Generic Connector will authenticate requests to your service using:

Authorization: Bearer <API_KEY>

Your integration service should validate this API key for security.

4. Data Polling

The Generic Connector will poll your integration service for:

  • Account lists and their balances

  • Transaction history for each account

  • Beneficiary lists for payouts

5. Enable Reconciliation

Reconciliation is an EE feature

Once the Generic Connector is feeding data into Formance Connectivity, you can use Formance Reconciliation to:

  • Perform account-based reconciliation between your PSP accounts and Formance Ledger accounts

  • Generate reconciliation reports showing any discrepancies

  • Monitor balance consistency across systems

Reconciliation Process

The reconciliation module will:

  1. Compare balances between your PSP (via Generic Connector) and Formance Ledger

  2. Ensure the sum of reconciled account balances match

  3. Generate reports highlighting any discrepancies

  4. Provide audit trails for finance teams

Benefits

This approach allows you to:

  • Integrate any PSP regardless of native Formance support

  • Maintain data consistency across multiple payment providers

  • Automate reconciliation processes

  • Scale to multiple PSPs using the same pattern

The Generic Connector essentially democratizes PSP integration, allowing you to build reconciliation capabilities for any financial service provider by implementing the standardized API interface.