A new report from Economist Intelligence Unit finds that banks are less fearful of fintech companies and that trends in the market are causing banks' interests to collide with fintechs for greater market partnerships and collaboration; the Economist Intelligence Unit report cites PSD2 as a leading factor for greater banking cooperation with fintechs; the report's Editor Renee Friedman says the research finds that "banks will increasingly have to adapt their culture and digital strategies to their customers' needs if they are to compete, not expect their customers to bend to theirs." Source
Peter Ryan of the software provider Temenos believes PSD2 has the potential to offer banks the personal touch they have lost; allowing consumers to share their data via APIs can allow banks to learn more about their customers and offer tailored products; while some banks have been proactive there is a fair share of the market who fear open banking; better understanding of the potential in PSD2 will help banks embrace what’s ahead. Source.
There was a lot of anticipation of what might happen in the UK as lawmakers put in place the Payment...
Europe's PSD2 will require financial institutions to share data with third party service providers creating a new market opportunity for fintech developers with guaranteed account data access; in the US fintechs must still rely on relationship building to secure data partnerships thus making technology development more challenging; American Banker reports on details of a recently formed association that's seeking to make data access easier; the Consumer Financial Data Rights (CFDR) consortium includes 31 data aggregators and fintech companies lobbying for data access solutions and agreements; American Banker also outlines the progress that has been made in data sharing and proposals from the CFDR. Source
Writing in AltFi Steven Bisoffi, Payments Advisory Lead at Huntswood, asks if 2019 will be the year that open banking will...
The UK's Payment Services Directive 2 (PSD2) has the potential to significantly change banking for consumers with access to open APIs; the article notes that banks that have only done the minimum to comply with PSD2 may run into issues if we ever see a PSD3; fully embracing PSD2 may save headaches for banks down the road; the trend of open APIs and data sharing is likely to make its way to the US; Japan is also leading the way in this area having explored domestic ACH on blockchain. Source
According to a report by Which almost 92 percent of consumers have not heard of open banking; slow adoption by banks is one reason for the low numbers; another reason is many people have started to use non bank services for payments or other tasks, the term open banking is still relatively new; banks are starting to innovate, by building or partnering, and open banking will only help to push innovation forward. Source.
Tink raised €56 million in new funding in February and today it announced a further investment of €1o million from...
In an op-ed in the FT, the chairman of BBVA, Carlos Torres Vila, argues for the expansion of European open...
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