Open banking brings new opportunities
The concept of Open Banking includes a wide range of services and opens up the world of financial information. Permits and licenses are an important part, which increase the amount of available data for further processing and use. The data obtained in this way can be used practically and effectively by companies for a faster and simpler solution to the financial requirements of clients. There are tools available that make the whole process possible, opening completely new business opportunities for companies.
Open banking is changing the rules—bank account data becomes available to licensed providers once the client gives consent. The company KF – Credit byro has introduced the NEOS solution, which turns real-time payment data into an overview of financial behavior and calculates a credit score. In Europe, it is already connected to approximately 3 000 banks and processed more than a million assessments over the past year. Open banking emerged thanks to EU directives that, since 2014–2015, have liberalized access to account data. The key is customer consent: only once it is given may a licensed entity access transaction data. The process has three steps—consent, secure connection through the provider, and analysis that takes place almost instantly. The result is an overview that companies can plug into their services to improve their offering or reduce costs.Open banking in brief
