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Canadians Would Warm to Open Banking with Assurance of Increased Security and Greater Awareness of Benefits, Accenture Survey Suggests

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Open banking technology is poised to change the way the world completes transactions, but three quarters (75 per cent) of Canadians say they are wary of the concept, citing concerns about the privacy of their financial data, according to a new survey commissioned by Accenture (NYSE: ACN).

The online survey asked more than 1,500 Canadians how they feel about the concept of open banking, which allows for the secure sharing of financial information — such as account balances, transactions and payment information — with registered third-party providers such as authorized retailers, social media platforms and fintech companies. The sharing of this information enables registered parties to provide consumers with better services, such as access to credit and personal financial insights.

Among respondents’ top concerns with open banking: the security and privacy of financial data (cited by 62 per cent of respondents); trusting large tech companies with their financial information (51 per cent), and believing that open banking will deliver enough value to drive a change in their current behaviour (44 per cent).

However, the survey also revealed that Canadians could warm up to the idea of open banking if certain measures were taken to address their concerns, including: additional access procedures such as an authentication password and security questions (cited by 34 per cent of respondents); biometric technology such as fingerprint or facial recognition (33 per cent); and real-time analysis of their payments to ensure that they conform to regular patterns (32 per cent).

One-in-five respondents (21 per cent) also said they would be willing to share banking account data with registered non-banking third parties in return for a better deal or other benefits. This is an interesting finding, as use cases in other countries have demonstrated that open banking could help create products and services that are tailored to customer spending patterns and lifestyle choices, in addition to creating a far greater range of options for reward and loyalty programs.

“Open banking is poised to transform banking operations worldwide but remains a relatively new concept to many Canadians,” said Bob Vokes, who leads Accenture’s Financial Services practice in Canada. “A critical element to open banking’s adoption is the right regulatory framework to ensure that consumers can decide which parties safely receive access to their financial information on a case-by-case basis — but to do that they’ll need to be convinced of the benefits. For example, by providing a lender with a holistic view of a borrower’s financial position, open banking could lead to faster approval rates, a higher loan amount or even a better interest rate.”

The survey also found that many Canadians (40 per cent) don’t understand the benefits of open banking enough to provide third-parties with access to their financial information, suggesting that public education could have a significant impact on consumers’ perception and adoption of open banking. In fact, one-in-five respondents (20 per cent) said they would want to know more about consumer protection from potential fraud before deciding on whether they would be interested in this concept.

“As we assess the impact of digital transformation in the financial space, open banking knocks down silos and makes transactions much more efficient,” said Andrew McFarlane, Accenture’s global head of open banking. “The technology is beneficial to both consumers and businesses because it enables smarter and faster decision-making. The gap in knowledge about open banking and its benefits presents an opportunity for stakeholders to educate and shift perception so Canada can keep up with the way the world is banking.”

Among other key survey findings:

  • One in six respondents (17 per cent) said it would be beneficial to see all financial information in one place, and slightly fewer (14 per cent) like that they could be provided tailored offers like a better mortgage rate or higher savings interest rate.
  • Approximately one in seven respondents (14 per cent) would consider accessing their bank account information directly from an online retailer to view their balance and make a payment without leaving the website or sharing any account details in preference of a credit card or debit card.
  • Regionally, Quebecers are slightly more likely to be interested in open banking than are other Canadians (21 per cent versus 16 per cent, respectively).

 

SOURCE Accenture

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UBS Managing Director Choo Oi Yee To Join iSTOX As Chief Commercial Officer (CCO)

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UBS Managing Director Choo Oi Yee To Join iSTOX As Chief Commercial Officer (CCO)

 

iSTOX, the first regulated platform in any major global financial center to offer end-to-end issuance, custody, and trading of digitized securities, is pleased to announce the appointment of Choo Oi Yee as its first Chief Commercial Officer (CCO).

Choo has over 20 years of experience in the investment and banking industry, most recently as Managing Director and Head of Singapore Corporate Client Solutions for UBS, where she was responsible for UBS Singapore’s investment banking business. In her new role at iSTOX, Choo will be a key member of iSTOX’s management team responsible for driving the company’s overall business growth by building its network of investors and issuers. She will join the iSTOX team in January of 2020.

“I see some truly fundamental changes on the horizon for capital markets and I believe that Singapore — and the iSTOX team — are uniquely well positioned to take advantage of them,” she said. “I’m very excited to be joining the team and look forward to helping iSTOX grow into the platform of choice for 21st century issuance and investment.”

Choo’s appointment comes at a strategically important period for the company; iSTOX has initiated plans to grow its base of issuers and investors as it works towards graduation from MAS’s Fintech Regulatory Sandbox in early 2020.

“It was clear to us that we needed someone with Oi Yee’s stature, reputation, and experience for our CCO role. Among other requirements, we needed someone with deep securities, issuance, and trading experience at a very senior level; someone with outstanding relationships with major institutional investors, business leaders, family offices, and others; and, most importantly, someone with a deep and instinctual understanding of the challenges and opportunities facing issuers and investors,” said Danny Toe, Founder and Chief Executive Officer of ICHX.

“We are pleased to welcome Oi Yee to the team as we open up applications for iSTOX investor accounts and plan an exciting issuer pipeline ahead of our projected sandbox graduation early next year,” said Darius Liu, Co-Founder and Chief Strategy Officer of iSTOX.

 

SOURCE iSTOX

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Euromoney TRADEDATA Partners With UK FinTech ipushpull to Create On-demand ‘Data-as-a-service’

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Euromoney TRADEDATA is pleased to announce a strategic partnership with ipushpull, a powerful data sharing and workflow platform.

Euromoney TRADEDATA recognises that the on-demand model is the future of data consumption, particularly within community chat and messaging networks, as part of a suite of delivery systems required to service all parts of the market that need futures and options reference data.

Through a single connection to ipushpull, Euromoney TRADEDATA can distribute data into a variety of applications including Symphony, the secure collaboration platform, with nearly half a million connected financial market users. The ipushpull platform provides Euromoney TRADEDATA with new distribution channels for secure, audited, access-controlled data delivery.

Mark Woolfenden, Managing Director of Euromoney TRADEDATA, comments:

“This is a very important integration for Euromoney TRADEDATA, as we begin to experiment with embedded, on-demand workflow functionality and delivery systems for our reference data. We recognise ipushpull as a leading exponent in data sharing workflow technology and we expect further benefits from their connections to other community messaging solutions. Also, as part of the offering, we can now offer a functionally rich Excel plugin for desktop users to access our reference data, which integrates seamlessly within users’ existing workflows. In addition, we look forward to working with ipushpull to develop a clutch of bots, to further enhance our customers’ experience in using our data services.”

Matthew Cheung, CEO of ipushpull, comments:

“We’re excited to offer Euromoney TRADEDATA new avenues to deliver and monetise their data to a variety of desktop and cloud services. We see this innovative approach as the first step towards an on-demand ‘Netflix’-style distribution model for data producers and consumers.”

 

SOURCE Euromoney TRADEDATA; ipushpull

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360 Finance’s LendingAdda Launches Diwali Offers

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Photo source: m.chinaknowledge.com

LendingAdda consumer lending marketplace owned by parent company 360 Finance (NASDAQ: QFIN) announces Diwali offer for credit card holders. On 6th October, SBI announced a bumper Diwali offer for its credit card holder; on 10th October, the State Bank of India approved a ten percent discount for its credit card users; on 14th October, LendingAdda launched the credit card function, and AMEX, SBI, Citi banks’ cards are included.

Due to India’s inefficient banking system, most people do not have a credit history, which leads to lower utilization of credit cards and limited accessible for many.

In this condition, fintech companies empower people’s lives compared with banks. LendingAdda, a digital finance platform, has integrated more diversified financial services. Its innovative data-driven and behavioral risk management models can help overcome barriers that arise from a lack of widespread and robust credit scoring.

Prantik Ray, professor of finance at XLRI-Xavier School of Management at the University of Minnesota, has stated that digital finance can be instrumental in providing credit ratings and potentially be leveraged in other areas. In essence, online finance can help create more possibilities in people’s lives.

LendingAdda evaluates a user’s credit based on big data and selects the most suitable loan and credit card product offers for consumers using intelligent matching. So far, it has offered lending services to more than 4 million Indians, and the number of borrowers is multiplying.

Most importantly, LendingAdda’s products cover almost every part of a user’s daily life: microfinance, credit cards, commercial loans, mortgages, auto loans, medical loans, education loans, etc., and its interest rate is usually lower than banks.

Additionally, LendingAdda has a higher credit line (up to 10 lakhs), which can almost always meet the borrowing needs of consumers, and the money arrival rate is less than 5 minutes, which was much faster than the bank.

With the help of LendingAdda, Moham finally got his wish of buying an iPhone for his girlfriend, which he thinks will help him bring greater happiness to his life.

How does LendingAaad help people accomplish their dreams?

Compared with many other enterprises, LendingAdda has world-class technology that enables it to offer a highly secure lending process with tailored products and services that help serve the daily lives of its users.

 

SOURCE 360 Finance, Inc.

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