Posts getaggt mit Payments
Open Banking: Opportunity or Threat for Banks?

Open Banking or API Banking - the opening of the traditional banking sector to third-party companies – has become a major topic in finance.  It’s not only the new Payment Services Directive (PSD2) of the EU, affecting all banks located in the EU, that leads to an energized, pioneering atmosphere. More and more IT-driven developments result in banks having to deal with the question of how to position themselves in a future market with not only plenty of new business opportunities, but also numerous new competitors on the rise. Open Banking is certainly strongly transforming the financial sector. It challenges the traditional structures and has the potential to revolutionize the entire industry. 

PSD2: Europe‘s Incubator for Open Banking

In financial industry, there’s hardly any topic that is being discussed more controversially than the PSD2, the "Payment Services Directive 2" of the EU. The directive entered into force on September 14, after a year and a half of preparation time. The new directive requires all banks in the EU to revise their security concepts and communication interfaces. This confronts institutions with the issue of an opening up of the industry to third-party providers and, in a broader context, the digitization and restructuring of the financial world.

PSD2 is the driving force of the concept of open banking in Europe and it is also shifting paradigms internationally.