As of March 14, 2019 the banks in the European Union shall offer open access via APIs to payment account data of their customers for testing. Eight of the TOP10 banks in Hungary have already opened their testing environments and development portals as required by PSD2. Here is the list of the accessible development portals and the pioneering Hungarian banks.
The PSD2 (Revised Payment Services Directive) mandated the banks to provide access to the payment account data of the customers – following explicit, GDPR-proof approval – to eligible third party providers. Banking data becoming available facilitates the development of a whole range of new, fast and flexible innovative services and also supports different service provisioning models.
Across the EU over 200 service licences (for account information services and for payment initiation services) have already been granted to fintech, tech companies and also to banks. They have the right to require access and start building value added financial services based upon the payment account data.
Soon, all Hungarian account servicing financial service providers (over 40) will offer access to the development portals. Yet, Tink, the most promising fintech startup in Sweden arrives to Budapest to the FinTechShow and will present and demo how they use financial data of 2500+ institutions.
See the glory list of the Hungarian pioneering banks
- MKB Bank: https://portal.sandbox.mkb.hu/
- K&H Bank: https://www.kh.hu/psd2-fejlesztoi-portal
- Budapest Bank: https://openbanking.budapestbank.hu/
- Takarék Csoport: https://psd2-sb-takarek.hu
- Erste Bank: https://developers.erstegroup.com/docs/apis/bank.ebh
- Raiffeisen Bank: https://sandbox.raiffeisen.hu
- UniCredit Bank: https://developer.unicredit.eu
- Sberbank: https://portal.sandbox.sberbank.hu
At this time, we have yet no info on OTP Bank (the largest bank in Hungary) and CIB Bank, however, GRÁNIT Bank, a small-middle sized bank also opened up its open banking development portal: https://portal.sandbox.granitbank.hu/
What is Open banking? – simply taken
In general, banks collect, process and work with huge amount of data. You might analyse these data with intelligent technologies and present the results on a way that it is easy to understand, present in an enjoyable format. This would help the customers to understand and interpret their finances on a different way and so would facilitate better decisions.
PSD2 and GDPR (General Data Protection Regulation) states that the customers have the right to decide upon how they want to use their data i.e. they decide what companies they give consent to see and use their financial data. (The data processor companies have to ensure that all data is transferred on a secure way, via open APIs.) The rights given to the customer encourages banks to develop better services so that they can keep their customers, also new companies with new approaches might deliver enjoyable, better targeted services to the users as well. The competition for the customers’ consent to accessing their data has started.
Open banking is a business and service provisioning approach based on advanced analysis of the banking. It facilitates the provisioning of digital financial services that are not only personalized, but based on the life-situation of the customers.
Use financial data of 2500+ intstitutions – approach by Tink
Tink, the most promising fintech startup in Sweden is coming to Hungary. Tink has granted licence as account information services provider (AISP) and as a payment initiation service provider (PISP). The Tink open banking platform is already used by ABN Amro, BNP paribas Fortis, Nordea, Klarna – just to name a few of its partners.
Joel Nordström, Senior Business Manager will introduce their open banking approach (Open banking, the democratization of data and you) and demo their solution (Use financial data from 2500+ institutions in your services) at the FinTechshow, on April 25, 2019, Budapest.
Beyond Tink, Transferwise, Mastercard, Aggreg8.io, the National Bank of Hungary and the Hungarian Electronic Signature Assocation will deep dive into datamonetization and further business opportunities of open banking at the FinTechShow.