Hey Mondo!
Wondered if you had any thoughts on this: http://theodi.org/open-banking-standard
Hey Mondo!
Wondered if you had any thoughts on this: http://theodi.org/open-banking-standard
Hi Mattstibbs,
Two of us from Mondo (Oliver and I) were on the Open Banking Working Group committee and had input into the report. We’re huge fans of open APIs, so it was hard to say no when we were asked.
The main things I was hoping to see emerge from the process was support for JSON/Rest and support for OAuth2 and OpenID Connect (Log into third party sites with your Mondo account).
I’m pleased to say both were agreed to, so the final API Standard won’t differ very much from what you as Mondo alphas are enjoying already .
It’ll be interesting to see what happens next, there’s talk of a smaller group of people working more closely to produce version 1.0 of the standard, and hopefully something will be published this year.
For us, having other banks and fintech type companies out there with open APIs will be a huge validation of what we’re building. It’ll also mean we can do things like; import your transaction history into Mondo when you switch to us, or compare offers from different banks and service providers right in your Mondo app.
Hi Simon,
Great to hear you were involved and that it means you’re probably in one of the best positions to be aligned with the standards
For anyone who’s interested, the October update, which included the appointment of the Implementation Trustee, was published today.
Also -
A budget of £2 million has
been agreed with the nine named institutions to mobilise the programme and
make an assessment of the resource required to deliver the Open Banking
Service.
&
Delivery of the initial API standard by Q1 2017 will be challenging.
Good to see this finally moving forward.
Just spotted a good summary of the Open Banking Standard -
http://blog.thisisbud.com/open-banking-in-3minutes/
It includes this prediction -
Research from some sources suggests that Open Banking will be very attractive to consumers. A survey by PwC suggests that banks could lose up to 24% of their business, a whopping £8.5bn in new revenue streams.
At least some of that must be going to the challenger banks, right?
Here’s some more details in an infographic about PSD2 (one half of the Open Banking Standard), which you’ll be hearing about a lot more over the next couple of years, as it’ll force the banks to give 3rd parties (like Monzo or an aggregator) access to customer’s data & enable 3rd parties to make payments from customer’s accounts (with the customer’s permission!).
It breaks down:
http://www.europeanpaymentscouncil.eu/documents/EPC_Infographic_PSD2_March-2017_V2.pdf
How does this affect Monzo’s API?
Will it limit the creation of apps that generate statistics and show them (but do not share them) in anyway? Ie: by requiring them to be licensed, be registered as a company, or by adding a monetary barrier to entry
Monzo have just shared a link to an in depth (20 page) overview of PSD2 in their latest blog about the API -
Big news -
“This represents the next step in the transformation and opening up of the UK banking industry to the benefit of consumers and businesses.”
Open Banking has developed specifications that determine how banks and building societies should enable other regulated companies to, with the customer’s express permission, access accounts and send payments. Using these standardised API specifications, banks and authorised third parties are now able to begin developing new, innovative propositions and to tailor their products and solutions to the individual needs of consumers and businesses. These specifications are now available.
“The specifications we are releasing today … will be live from January next year
The title of this tread sounds a bit technical and not of interest to the average customer but the open banking developments could change the landscape of banking even for the conservative British consumer. These developments will enable customers to access and view their accounts from independent apps or other banks apps, and amalgamate accounts from multiple providers into one app where your complete financial position can be viewed together. New agregator apps like Yolk will take advantage of these developments but maybe one day you can view your Lloyds and RBS accounts inside your Monzo app!
Just to keep everything linked together, a great overview of what the innovation that Open Banking will enable has just been posted here -