Consumers still prefer leaving open-banking in the hands of banks, according to Mobey Forum and Aite Group research

Big banks are more trusted by consumers to provide open-banking solutions than third-party providers. However, a new survey suggests it might be changing.

Mobey Forum, the industry association, and Aite Groum, the research firm, surveyed 1,010 consumers in Finland, France, Germany, Spain and the UK.

They found that whilst most people would trust their banks for their open-banking needs, the gap is closing.

“It’s crucial that banks act on their short-term advantage quickly to avoid disintermediation by [third-party providers] as the open banking market evolves,” comments Elina Mattila, executive director of Mobey Forum. “Consumers trust their banks because no-one else does data security and privacy like they do – it’s a cornerstone of their success. Consumer confidence in third party banking services, however, continues to grow.

“Open banking is the next chapter in the digitalisation story and a new generation of agile, specialist TPPs is forming to capitalise on API-based payment and data services. If banks want to protect their place at the forefront of the industry they need to act now, either to offer TPP services under their own brands, or to create their own. Either way, they need to move before the TPPs can establish an independent base.”

Roughly one third of consumers are either very or extremely interested in account information services (32%), pay by bank (33%), purchase financing (25%), product comparison (35%) and identity check services. Respectively, 32%, 33%, 25%, 35% and 35% were interested in each of these services.

The main reason why consumers might be holding back would be because they are worried about security and privacy.

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