Open banking will finally end consumers’ blind loyalty
At Mumbrella’s Finance Marketing Summit, Fred Schebesta, co-founder of comparison site Finder.com, explained how the unassumingly titled Consumer Data Right act will allow customers to switch accounts with ease – and force traditional players to raise their game. But the challenges will also, he argues, bring opportunities to everyone in the market.
It’s been described as a quiet revolution and the most significant shake-up in Australian finance since the introduction of the ATM.
On August 1, the government passed the Consumer Data Right bill, clearing the way for a major shift in the relationship between banks and their inordinately loyal patrons. From February 2020, customers will have control of their finances in a way they have never had before.
Finder.com’s co-founder Fred Schebesta
Finder is Australia’s leading product comparison site that receives 2.4 million unique visitors per month.
Fred’s talk was very interesting. It’s clear that one of the main beneficiaries of open banking could be … Finder. Let’s hope he plays his cards right.
At present almost all aggregators of personal bank transactions data are used Facebook style to build large aggregated data sets for other purposes – credit scoring, risk modeling, socioeconomic models. It remains to be seen whether handing over access to your transaction data will be any different to handing over your contact list to Facebook.