About Open Finance
An evolution of Open Banking.
Open Finance is an evolution of Open Banking. Open Banking allows third-party providers (TPP) access to financial data that was previously accessible only by financial institutions. Data such as transactions, account balance, and more. Customer’s financial data is made available via application programming interfaces (APIs) to third-party providers and only with the explicit and informed consent of the customer. This allows third-party providers to build custom applications and services, bringing value to consumers.
While Open Banking pivots financial data ownership to consumers, Open Finance expands the scope of data beyond financial institutions to include information such as pension, tax, insurance, telco, and more. This allows for a complete overview of a customer’s financial footprint.
Advantages of Open Finance
Better-tailored financial journeys
Easily access to previously inaccessible financial data. This allows businesses to better understand customers' financial situations and develop better solutions and product offerings.
Open Finance enables third-party providers to access financial data available beyond financial institutions such telcos, eCommerce, eWallets, and more. With the availability of data, it enables third-party providers to provide more solutions to cater the market.
Updated 12 months ago