Open Banking

[Silurian]

I received an email from my bank today about "Open Banking". This is apparently a change in banking regulations so that companies can 'share' banking details.

I can give third party companies the right to make payments from my account if I wish. I think I'll pass on that thanks.

I can also give my account login details to other companies:

"This is where any company can request your personal login details. If you give them your login details the company will then log into your bank account as if they were you in order to use your data. This may mean that the company can access a wider range of information than just your transaction history or account details and the only way to be certain you have cancelled the permission you have given them is to change your password or security details with your bank."

Request my login details and have full access to my bank account. Are they for real?

[Long Jon]

Oh brave new world !

I think it’s a fantastic thing that the banks are taking a leading role in this Utopian vision.

No more secrets = no more war , no need for greed or hunger, or brotherhood of man...... imagine, all the people , sharing all the world.

Hats off to ‘em I say !

[Truckjohn]

Wow... Did anybody happen to tell them why banks exist? You know that bit about keeping your money away from other people?

Amazing!!

[HHP]

Did they cite any scenario where this would be of value to their customers? Somebody, somewhere must have thought this would be useful but that defies my limited imagination.

[Silurian]

Originally Posted by HHP

Did they cite any scenario where this would be of value to their customers? Somebody, somewhere must have thought this would be useful but that defies my limited imagination.

It seemed to be deliberately vague.

[Enchilada Jones]

First they come up with a bad idea then they implement it and then they contribute to a politician to get there bad idea made into law. Soon after you will have to opt out of it instead of simply not choose it. Not long after that the 'opt out' option will be phased out under the guise of government working to protect you from something.

like frogs in a pot slowly being brought to a boil....

[fazool]

This isn't "new".

I have several accounts connected to my checking account - my insurance payments get processed automatically, all my utilities, etc.

[ManyMartinMan]

Just like your internet browser companies can release your personal browsing history without your permission or knowledge...... welcome to deregulation.

[amyFB]

I use online banking now for several years, and all the banks outsource the Bill Pay activity to a third party.

[jpd]

Makes you feel all warm and fuzzy inside....just ask Equifax

[catdaddy]

Sounds great! What do they charge for this service? Oh wait, how stupid of me. Of course, they'll charge whatever they want.

[rokdog49]

Originally Posted by Long Jon

Oh brave new world !

I think it’s a fantastic thing that the banks are taking a leading role in this Utopian vision.

No more secrets = no more war , no need for greed or hunger, or brotherhood of man...... imagine, all the people , sharing all the world.

Hats off to ‘em I say !

Dripping with sarcasm and rightfully so.

[motojosh]

Originally Posted by HHP

Did they cite any scenario where this would be of value to their customers? Somebody, somewhere must have thought this would be useful but that defies my limited imagination.

While I'm not in favor of the concept of "open banking," I believe it's so that money management software like Quicken or Mint can access your account. Lots of people use those programs (but again, not me...). Allowing that software to access their accounts would save users the step of having to download the information from the bank, then upload it into the software.

[amyFB]

Originally Posted by motojosh

While I'm not in favor of the concept of "open banking," I believe it's so that money management software like Quicken or Mint can access your account. Lots of people use those programs (but again, not me...). Allowing that software to access their accounts would save users the step of having to download the information from the bank, then upload it into the software.

I think that the purpose is to facilitate the BillPayer aspect of online banking.

the banks are more and more outsourcing the bill payer function.

if we don't allow the bill payer function to access the funds, it cannot function.

I don't think it is much different, risk wise, that a direct deposit account set up that allows a payroll company like adp to put funds in your account.

so much of the horrors stories about online hacking and theft is the result of lazy password management.

change your passwords very often to lower the risk. Even using a password manager, I've still gotten into the habit of frequent password changes. I think that's the most effective way to reduce the worry about your data online.

[dirkronk]

Oh, c'mon, folks. What could possibly go wrong?

*sigh*

My wife has always been leery of anything having to do with financial access or information via the internet. Thus, we remain confirmed Luddites in this particular realm. No online banking for us. No debit card usage...our ATM card is supposed to double as one, but only I carry it and its only use is cash withdrawals. Old school checking, balancing the checkbook, bill pay from paper statements, all still apply Chez Ronk.

Eventually, we'll be forced to relent. I have already set up online accounts with our investment firms, since she throws investment into my court exclusively, but I'm sure she'd be happier if that was all done by snail mail and paper statements.

But this? This would make her head explode.

Come to think of it, it gives me a bit of a headache, as well.

Dirk