Schwab blocks external AI agents from client money

Schwab blocks AI agents from other companies when they try to send client money. The CEO does not want clients to give their passwords to an agent. Its CEO tells that the causes are risk to safety and no clear decision on liability. The CEO of JPMorgan made the same step this week. Schwab will also give read only links for AI models.

What banks do

Schwab does not want clients to give their passwords to an agent such as Muse. The links will use model context protocol servers. An AI model that a client selects can read data such as account balances. The agent cannot send money.

The numbers

The CEO gets a report each week. It shows 10 to 20 blocks each week for the large agents, such as Muse from Meta. The CEO reads this as a sign that persons do not want to give AI full accounts.

What is not known

Congress is in debate on liability for AI agents. There is no clear decision at this time.

JPMorgan lets external tools view account data but not send money or pay bills.

Insight: Banks may guard low interest deposits, not only safety

An economist at Apollo tells that agents can move cash from accounts with 0.1% interest on average. They can move it to accounts with 3.3% to 5%. Schwab shares fell more than 6 percent after the release of an agent. The blocks read as a protection for low interest deposits and not only for safety. Banks may want clients to stay with the assistants of the banks. Start with read access.