Finance & Economics

Innovate Finance Calls For Expanded Open Banking

The British fintech industry organization Innovate Finance has appealed to regulators to expand the scope of open banking services.

Innovate Finance Calls For Expanded Open Banking

Source: Pixabay.com

The organization explains the necessity of the proposed measure by the fact that in this way it is possible to support the implementation of budgeting algorithms and accessibility. The main purpose of this initiative, according to the assurances of Innovate Finance, is to help UK residents cope with the difficulties associated with the cost of living crisis.

In a report prepared jointly with EY, the organization outlined a plan for the interaction of the industrial industry, the government, and regulatory authorities to jointly solve the problems of rising prices of goods and services.

The report also says that fintech companies have already helped many consumers better manage their available financial resources, make purchases based on favorable offers, minimize the negative consequences of a sudden drop in income, get cheaper access to loans, and rationally allocate costs. Experts note that this activity would be more effective if the regulatory authorities decide to extend the rules of open banking services to a wider range of services.

The authors of the report argue that priority areas should be included in the scope of the rules, including all savings accounts, loans, and mortgages so that consumers can get a complete picture of their finances.

The report also calls for limiting fees for publishing financial data of clients of financial institutions for open bank payments in e-commerce.

Innovate Finance believes it is appropriate that the new rules for debt counseling include more robotic consultations.

Janine Hirt, CEO of Innovate Finance, said that fintech companies can do more to help people, especially with open banking, but this is only possible if the legislation is changed.

As we have reported earlier, UK Fintech Funding Slashed by 8%.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.