- PSD3, strengthening consumer and business control tools
Technological and digital innovation, along with regulatory innovation and the inclusion of new players in the financial ecosystem, have driven the implementation of open finance. (Open Banking or Open Finance).
For 48% of industry experts, Open Finance will be a market standard by 2030, compared to 20% now. Therefore, open financing stands out for creating more open space in competition, due to the diversity of channels or inclusiveness and its ability to exploit cross-industry synergies thanks to embedded financing.
According to the Mainsite Reimbursement Finance report, varying rates of adoption of this new model are mainly due to lack of appetite in the market (according to 26% of those consulted) or disparity in regulatory frameworks depending on the region.
Evidence of this is that the report found that in 17% of cases, there are regulatory agendas that already include the implementation of Open Finance in the short term. Although in 13% of cases, there is still no explicit regulatory framework that enables it.
In this regard, One in four experts point out that data protection and privacy is the main regulatory challenge in implementing open finance. In this context, the European Union is accompanying the financial sector in creating a new framework to ensure safe and open access to customer data, without losing the interests, security and trust of the consumer. However, this lack of clear rules of the game leads to new Open Banking solutions becoming Open Finance less quickly, as the efficiency and security of user data access interfaces are limited.
According to European consumers, who are particularly reluctant to share their financial data, material benefits and rewards for sharing should be made more specific. In the case of Spain, more than 54% of users would be more interested in sharing their data if doing so would reduce or even eliminate commissions and administrative costs. Additionally, the report shows that the institution that inspires the most confidence in sharing this data is the traditional bank.
The new PSD3 regulatory framework establishes rights and obligations in the exchange of customer data to strengthen the control tools available to consumers and businesses. For example, the following can be mentioned: the possibility of sharing customer information with users, the obligation of customer data owners to make it available to users, full customer control over access to content, and standardization of customer data and interfaces. necessary
Minsait Payments’ Open Finance report is part of the company’s annual study of trends in payment methods. which was prepared in collaboration with Analistas Financieros Internacionales (AFI). The document collects the opinions of more than 4,800 bank users in Spain, Italy, Portugal, the United Kingdom and Latin America (Argentina, Brazil, Chile, Colombia, Ecuador, Mexico, Peru and the Dominican Republic).