Open Banking – Compelling arguments
So I have talked to many of you about Open Banking at this point. Now I am working on a presentation for the potential clients. I keep doing and redoing and redoing and… you get the point so
I was wondering – What you thought were the most compelling arguments about openbanking?
I’ll add in some of my own in the comments section…
help me convince them! As I know others of you believe in this as well!
November 11th, 2009 at 4:37 pm
So my favorite is one that is a bit too difficult but I thought I should go ahead and post it.
By creating a system that acknowledges the Individual’s ownership of granular data and paying clients for its usage, we create a precedence of cost. I can see class action lawsuits of the future where citizens sue against the misuse of their data.
November 11th, 2009 at 4:38 pm
True trust in created thru transparency
So for example – you don’t understand why it takes so long for a payment to process. A bank should be more like FedEx with tracking numbers.
November 11th, 2009 at 4:39 pm
Transparency in the banking process can help educate.
You can better model and explain the risk aspect of banking. Here you get a better rate but you exchange either sale of your data or higher risk.
November 11th, 2009 at 4:41 pm
We must get control over our social behavioral data.
Who better to bank our identity with than a bank that has setup an EQUITABLE win/win relationship. Then we can have someone large to defend us and we can organize (ala union style) if they don’t.
November 11th, 2009 at 4:42 pm
Better more transparent banking core mean faster transactions with other third parties that are verifiable.
November 11th, 2009 at 4:42 pm
Data ownership = Data protection
November 11th, 2009 at 4:43 pm
Creating an apps store for banking means faster evolution in features for customers
more features means reduced customer acquisition cost.
November 11th, 2009 at 4:45 pm
If they trust a Openbanking system customers will supply more and more accurate data.
Therefore our social behavioral models will be more accurate and will be used for good.
November 11th, 2009 at 4:46 pm
Better social behavioral data can mean:
better education of customers
better customer service
better fraud detection
November 12th, 2009 at 2:32 am
I’ve also been thinking about co-op / not-for-profit developments: banking, insurance, telecom. I think many consumers are smart/tech savvy enough to find out about something like this through the blogosphere. It would not take much.
I think the key thing is that the staff that run the company are competitively paid. It’s just that instead of making short-sighted decisions that screw over the end-user to please wall street, the company is guided by the best interest of the users.
banking, i think, is one of the easier ones. Compared to telecom or insurance there is little infrastructure cost. Just secure servers. Couldn’t we even use Amazon EC2 for something like this? sure we would have to give re-imburse ATM fees. But there is already a community of banks that share ATMs. http://www.allpointnetwork.com/