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.qfx files

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gerrywattier

04 Jul, 2018 02:41 AM

Now that I have switched to Moneydance I have a reservation. I download data from my bank and credit cards in the .qfx file format and then open them in Moneydance.. Wikipedia says that .qfx files are proprietary to Quicken and dependent on a paid up quicken licence. If that is the case how does Moneydance succeed in opening .qfx files. I still have a paid up licence to use Quicken but when I cancel it will quicken deny me the ability to open .qfx files in Moneydance.
Gerry Wattier

1. 1 Posted by dwg on 04 Jul, 2018 10:20 AM

   

   I'm a fellow user.

   I believe the wiki entry is misleading.

   OFX is the basis of the system. This stands for Open Financial Exchange and this is an open standard available to all.

   The details of OFX can be found at:

   http://www.ofx.net/

   So this is the basis behind the OFX file format and also Direct Connect. If Quicken was trying to charge for this I believe that would lead the door open to lawyers. QFX is just an extension.

   I do not see how QFX could be considered proprietary. The Spec specifically states that the specification can be extended but that:

   "The extensions are not considered proprietary. An organization is free to publish their extensions and encourage client and server implementors to support them."

   So Quicken can add to the spec but cannot claim it is proprietary, I believe they have added their own private section to the specs.

   The extensions should also be designed so that they are written in a way that they will not result in

   "Confusing a client or server that does not support the extension"

   So they should not change the way a file is written so that another product cannot process them. The Quicken extensions should therefore be able to be ignored by other vendors products.

   Quicken can certainly write their own software so that they will not process a file that does not have the Quicken extensions.

   So I would think that Quicken charging a licensing fee for organisations that use the spec would lead the way open to litigation, Quicken does not own the specification.

   Moneydance does not communicate with any Quicken servers. An OFX file is just a plain text file with a specific structure so it is not hard to read although the file can be a bit involved, QFX is the same it should just be with Quicken Extensions

   Web Connect is a different story this is not part of the OFX specs so Quicken can, and I imagine, does charge organisations for using it. I have been able to find a couple of private tags for Quicken, one identifies the Quicken branding server and another is the user ID. These appear to be mandatory for web connect and recommended for Direct connect, especially when the Bank supports both methods.

   It is a shame the consortium that developed OFX and thus Direct Connect did not make a spec of a lighter weight protocol akin to Web Connect.

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2. 2 Posted by gerrywattier on 05 Jul, 2018 01:08 AM

   

   Thank you dwg:
   This is the second inquiry that I have made through this forum and I'm impressed with the knowledge of both you and the other fellow user who responded to my previous inquiry.
   The information that I used to suggest that qfx files are proprietorial to Quicken is on this link.
   https://en.m.wikipedia.org/wiki/QFX_(file_format)
   From your explanation and by re-reading this link closely I conclude the following.
   The control that Quicken has only relates to opening the file in Quicken software. Since the file is OFX it must be open source and Quicken cannot make alterations that will preclude opening the file in other software such as Moneydance.
   Mention is made of "Direct connect" and "Web connect" in both the above link and in your explanation. Can you explain to me what these two terms mean?

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3. 3 Posted by dwg on 05 Jul, 2018 03:00 AM

   

   I read the wiki definition before responding and found it to be rather Quicken centric :)

   To answer your question automated download of transactions from your bank to your computer is done based on a client/server type of model. Software like Quicken, Moneydance etc act as the client they communicate with systems at your bank that act as the server and pass the information after user validation etc.

   Direct connect is the name commonly given to the system where there is an OFX server system at your bank. This is usually some sort of standalone server at your bank that has a data feed from the bank's main systems. It can also be operated by a third party that has a data feed from the bank. This is the open standard OFX system that has been documented. This system can also facilitate application based online banking e.g, the ability use Moneydance to instigate bill payment etc.

   Web Connect a lightweight system, it runs as part of the bank's Web Servers and as far as I am aware only allows for the download of transactions. So it has less capability but I believe it is also less complex, it's attractive because many people are satisfied by only being able to download their transactions and are happy enough to use things like internet banking for bill payment. Web Connect is a Quicken development and is therefore owned by them, there appears to be no public specification.

   To the end user Direct Connect and Web connect look to be the same as at some levels you get the same results, they are both using the same underlying OFX file format so with downloaded transactions you would expect the same result,

   So the most basic difference between the systems is the different infrastructure that is used to support the functionality.

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4. System closed this discussion on 04 Oct, 2018 03:10 AM.