Open Banking: Revolutionising the Financial Services Industry
Open banking is a term that has been making waves in the financial services industry. It refers to the practice of allowing customers to securely share their financial data with third-party providers, such as fintechs and other financial institutions, through the use of APIs (Application Programming Interfaces).
One of the main benefits of open banking is greater control for customers over their financial data. With open banking, customers have the ability to grant and revoke access to their financial data as they see fit, giving them more control over who has access to their information and how it is used.
Open banking also has the potential to improve financial inclusion by making it easier for individuals to access financial services. By providing a secure and easy way for these individuals to share their financial data, it becomes possible for fintechs like PayItMonthly and other financial institutions to offer them a wider range of financial products and services, including loans and insurance products.
Additionally, open banking is seen as a way to drive innovation and competition in the financial services industry, and to give consumers more control over their financial data. As more financial institutions adopt open banking, it is likely that we will see even more benefits emerge in the future.
PayItMonthly has recently introduced Open Banking into the customer application process to give people more options when applying for finance. For customers that choose to connect their bank it will help speed up the overall application time as well as boots acceptance likelihood.
This is an exciting development that has the potential to provide huge benefits to both businesses and consumers. By making it easier for customers to access a wider range of financial products and services and giving them more control over their financial data, open banking has the potential to benefit everyone involved in the financial services ecosystem.