Final rules from the Consumer Financial Protection Bureau further the march towards open banking. What will it take to keep such data sharing secure?
The concept of open banking, the ability for customers to share their financial information easily with third parties, is gaining momentum in the United States though in a piecemeal way.
The Consumer Financial Protection Bureau recently finalized rules for financial institutions to offer open banking securely. It is one of the latest steps to further define how banks, credit card issuers, and other financial institutions should proceed forward in this space.
Open banking already has footing in Europe. Meanwhile countries such as Canada, Japan, and Singapore have yet to formally adopt it, though their policymakers are exploring open banking frameworks. Though there is no single cohesive regulatory policy in the US yet, securing financial information will be paramount as open banking is made available.
What is the balance of making financial information available to authorized parties versus keeping financial data secure?
For this episode of DOS Won’t Hunt, Ben Shorten (upper left in video), Accenture’s finance, risk and compliance lead for banking and capital markets in North America; Adam Preis (lower right), director of product and solution marketing with Ping Identity; and Fernando Luege (upper right), CTO with Fresh Consulting, came together to discuss security hurdles and the way ahead for open banking.
