18th Nov 2021

Was ist Open Banking und warum ist es wichtig?

A lot of people are talking about open banking right now.

In fact, 2021 has been called the Year of Open Banking.

At AccessPay’s Die Mythen rund um den britischen Zahlungsverkehr räumen auf event in Manchester, Nadeem Haque from Barclays gave us some fascinating insight on this topic.

Drawing on his expertise, we ask: what is open banking and why does it matter – especially when it comes to UK payments?

 

hand-touching-virtual-open-banking-display

 

What is Open Banking?

Beginnen wir mit den Grundlagen. What does open banking mean, and what is its definition?

Open Banking is simply a secure way to give service providers access to your financial information.

It’s an innovation that allows third parties to build apps and services around financial institutions like banks. The idea behind this is that your customers will be able to pay for products and services entirely through your app or website.

 

How Open Banking Works

Here’s how it would work in practice.

Say you’re a customer looking for holiday insurance. Open Banking would let a price comparison site access your banking information, so it can tailor the products it suggests to what you can afford and what you typically spend.

And think of the benefits this tech could deliver. Those in the know are already making noise about how it could allow you to view all your bank accounts in one place. This could make it easier to budget as you have a clearer view of how much money you have.

Then there’s the obvious benefit that payments can be made in seconds, all from one place, making everything more convenient.

 

What Does this Mean for Customers?

This is revolutionary for consumers, giving them greater control of their finances.

A PwC-Bericht besagt, dass 39% der Bankkunden ihre Daten mit anderen Banken und Dritten wie Amazon teilen würden, wenn sie dadurch bestimmte Vorteile erhielten, z. B. die Möglichkeit, maßgeschneiderte Produktangebote zu vergleichen. Aber eine Beitrag über Finextra says that only 28% of UK adults have heard of open banking.

Basically, there’s a knowledge gap when it comes to open banking and it’s up to businesses to get customers on board.

 

Open Banking Business Opportunities

Is this worth the effort though?

Yes. There’s clearly space in the market for it and businesses live or die by their ability to please customers.

It’s ideal for finance and treasury professionals too. You could do tasks like invoicing from your phone in seconds with open banking. You could also see multiple bank accounts in one place and this has serious benefits. Combine this with automated tech like Kassenführung Treasury-Software und Aufgaben wie der Abgleich werden viel einfacher.

 

How Safe is Open Banking?

Gibt es bei all den Vorteilen auch irgendwelche Nachteile? Der offensichtliche Bereich, den wir betrachten müssen, ist die Sicherheit. Zahlen collected by the UK government show that 39% of businesses suffered a breach or attack between March 2020 and March 2021. This rises to 64% for larger organisations, so safety really is a massive issue.

Despite what people might believe, it’s clear that open banking has diamond-grade safeguards. Any data used for this purpose is encrypted with the most advanced security measures.

Anyone using open banking tech will still have to play by GDPR rules too. The penalty for breaking these can run up to 5% of a company’s global revenues, so any business you deal with has plenty of reasons to play it safe.

 

Leading the Charge

We were lucky to have one of Barclays’ experts, their Director of Global Cash Management Nadeem Haque – who contributed to our latest eBook – at the event.

Barclays is richtungsweisend here; they were one of the first UK banks with an open banking app. It lets customers view account data from other retail banks without giving out names and passwords for these accounts.

Despite doubts, open banking is already here and it’s changing how customers and businesses handle cash.