Josh Frydenberg says ‘open banking’ will let customers navigate complexity
Treasurer Josh Frydenberg says growing complexity in financial services has made it tough for customers to compare prices and products but “open banking” will help overcome this by ensuring banks present information in a standardised, simpler way under a policy that aims to facilitate account switching and stir competition. With the government planning to introduce its Consumer Data Right law into Parliament on Thursday, Mr Frydenberg told The Australian Financial Review technology was advancing rapidly over the banking sector and he wants open banking, the first industry application of the new right, to encourage fintech innovation and allow customers to “harness their data for their own benefit”. “We live in […]
How game theory and Blockchain can help support a better banking network
Banking today is far from what it used to be. Increasingly, in order to power the services that consumers demand, banks need to have access to wider arrays of tech as well as new methods of interaction and transaction. While this may seem like it would only lead to further inefficiencies in banking, it can actually streamline the industry thanks to new innovations in blockchain tech, all taking inspiration from game theory. Modern banking, the type that you access on your phone when you deposit a check with a photo or when you send money using Venmo, often functions according to a Banking as a Service (BaaS) model. This lets […]
Bankwest accelerates shift to digital cards
Australian retail banks are accelerating their push towards deploying virtualised payment cards to replace vulnerable legacy plastic, as the pace and scale of breaches intensifies sharply. Commonwealth Bank subsidiary Bankwest revealed on Monday it has gone live with a ‘digital card’ feature that can activate a credit card in a digital wallet via the Bankwest Mobile app within 24 hours rather than having to wait for embossed plastic to arrive via snail mail. It’s a small but significant move because it signals the transition by banks to a truly digital-first payments footing as major card schemes American Express, Mastercard and Visa all heavily push tokenisation efforts that remove the need […]
Xinja to launch second equity crowdfunding
Xinja, which is building a 100% digital bank or ‘neobank’ designed for mobile, is inviting potential investors to register their interest in its second equity crowdfunding, which will get underway early in 2019. The offer, through Equitise (with whom they partnered for the first round), is targeting a raise between $500,000 and $5 million. Shares will be priced at $2.04. Xinja is an independent, Australian-owned start-up that aims to give bricks and mortar, old-style banking a serious shakeout. It won’t have bank branches and it has been built with feedback from customers about how they want to bank. Xinja launched Australia’s first equity crowdfunding, which closed in March this year, […]
‘We’re tech companies’: The neobanks’ advantage
A big advantage that “neobanks” have over the big four is that they are nimble and highly scalable technology companies focused on customer experience, according to the co-founder of Up. After hearing Stephen King from the Productivity Commission (PC) claim that challenger lenders do not have a realistic chance at competing with the major banks and will ultimately be “gobbled up” by them, Dominic Pym said the advantage that challengers such as his company Up, along with the likes of Volt and Xinja, have is that they are technology companies with a focus on improving customer experience and the ability to move and adapt fast. Speaking on a panel at […]
Aussie-founded fintech Banked secures $2.7 million in seed funding, to launch open banking data solution
An Aussie-founded fintech, based in London, has secured £1.5 million ($2.66 million) in seed funding, while it’s still pre-product, pre-revenue, and less than a year old. Founded in early-2018 by Australian native and chief executive Brad Goodall, along with co-founders Neil Ambler, Patrick Cox and Ellen Fernandes, Banked aims to open up the possibilities of financial data by providing a trustworthy channel of communication between banks, businesses and individuals. The entirety of the seed funding has come from London-based venture capital firm Backed VC, although Goodall tells StartupSmart he is in talks with other investors regarding a potential secondary seed raise. Open banking came into effect in the UK earlier […]
Priviti is a finalist in Westpac’s Innovation Challenge as Australia prepares for data privacy legislation
Selected as one of five finalists, Priviti’s patented consent management solution gives users greater control over how their data is shared and mitigates companies’ compliance and reputational risk amid growing data privacy concerns. Australian bank Westpac has announced that Priviti is one of five finalists for its 2018 Innovation Challenge, an initiative that gives startups the opportunity to pitch their ideas to help businesses meet their regulatory obligations and drive game-changing enhancements to customer experience. As Australia prepares for Open Banking standards and the Consumer Data Right, this year’s Challenge features RegTech solutions addressing topical issues including responding to regulatory change, ensuring customer privacy and consent, and product management. The […]
Fiserv open banking survey shows emergence of strategic focus
Fiserv, Inc. (NASDAQ: FISV), a leading global provider of financial services technology solutions, today announced the results of a survey revealing insights into the implementation of open banking initiatives by banks in the U.K., Poland, France and Australia. To date, banks have primarily focused on compliance, with only 42 percent of respondents (and just 24 percent in Australia) saying their strategy for open banking goes beyond day one. However, some banks are beginning to leverage open banking for strategic initiatives such as improving customer service. Banks are united in the belief that open banking will have an impact on financial activities, with 67 percent expecting at least a moderate impact, […]
