Scott Morrison says data sharing regime will ‘revolutionise’ banking
Treasurer Scott Morrison said new rules to give bank customers control over their data will disrupt the major banks’ “stronghold” on information and encourage a new wave of fintech innovation. He said stringent security and governance rules along with safeguards to protect customer privacy would be be at the core of the federal government’s regime, due to start on July 1, 2019. Mr Morrison will release a report by King & Wood Mallesons partner Scott Farrell on Friday that will guide the Turnbull government’s approach “to giving consumers greater access to, and control over, their data”. The so-called “open banking” regime will allow customers, including small businesses, to instruct their […]
CUA launches Apple Pay on its EFTPOS rediCARD
Apple Pay is now available on the full range of CUA-issued debit and credit cards. Australia’s largest credit union CUA has today launched Apple Pay to its EFTPOS rediCARDs, allowing customers with the rediCARD to make real-time contactless purchases via their iPhone or Apple watch. The integration completes the loop for CUA, with Apple Pay now available on the full range of CUA-issued cards. The new functionality will enable CUA customers with rediCARD to make EFTPOS purchases via the digital wallet securely using their own money and in real-time. Customers with a compatible Apple device will now be able to choose to make the contactless payment with EFTPOS, by selecting […]
Westpac, ANZ and NAB aren’t planning a bitcoin crackdown … yet
Australia’s largest banks have confirmed they do not currently have plans to block their customers from buying bitcoin and other cryptocurrencies. This differs from the approach taken by UK-based Lloyds Banking Group, and US banks JP Morgan, Bank of America and Citi.Those banks, in recent days, have announced they will ban their customers from using credit cards to purchase digital currencies. ANZ’s response ANZ told the ABC that it “does not prohibit customers buying digital or cryptocurrencies, or accepting them as a form of payment”. However, ANZ’s spokesperson said: “We monitor transactions for unusual behaviour to protect against potential fraud and in line with our regulatory responsibilities.” “We do not […]
Westpac invests $25m more in Uno in mortgage broking play
Westpac Banking Corp has doubled down on the digital mortgage broker Uno Home Loans, investing another $25 million to ramp up the start-up’s brand marketing and sales teams in a deal that reflects a concerted drive into the broking industry by the nation’s second-largest lender. Westpac is keen to win some share of the $2 billion-plus in annual revenue which flows to mortgage brokers, who currently advise on nearly half of the $380 billion in mortgages written each year. Westpac now owns around 81 per cent of Uno, which wants to win a 10 per cent share of the highly fragmented broking market over the next 10 years. “The broking […]
Australian banks are hunting for deals and partnerships with fintechs
The majority of Australia banks seeking deals and investments with fintechs in the next 12 months as they continue their transformation as digital businesses. The Australian findings from EY’s 2018 Global Banking Outlook show 80% of Australian banks looking to set up new partnerships or joint ventures in both core and new strategic markets over the next year. “With the pace of technological change and the speed at which new innovations are hitting the market, it’s not surprising that banks are increasingly focusing on their digital agendas,” says Tim Dring, EY Oceania Banking and Capital Markets Leader. “Australian banks have already made significant progress in this space and we are […]
NAB to allow payments through Xero
National Australia Bank is preparing to cede some control over its business customers to accounting software giant Xero, by allowing payments to made from within the accounting platform rather than through its internet banking site. The deal could be the first one globally that allows core banking activity to be conducted inside cloud accounting software, and comes after the World Economic Forum predicted banks will face more competition from technology platforms for customer relationships. NAB and Xero are on a national roadshow this week to brief Xero customers on the innovation, ahead of a closed beta trial in February and roll-out to the broader market mid-year. Xero’s managing director in […]
Banks shift priorities toward digitalisation and innovation for future growth
Eighty percent of Australian banks and 85% globally cite implementation of a digital transformation program as a business priority for 2018, with investment in technology to drive efficiency, growth and manage evolving risks increasingly seen as critical for sustainable success, according to the EY Global Banking Outlook 2018. The survey of senior executives at 221 banking institutions across Asia-Pacific, Europe, North America and emerging markets, found that globally just 19% of banks surveyed currently view themselves as being either digitally mature or a digital leader, while in Australian none of those surveyed did. However, it also showed there is an obvious recognition among banks of the urgency of continuing […]
Bank-based blockchain projects are going to transform the financial services industry
Cryptocurrencies are constantly evolving, with popular currencies such as Bitcoin and Ethereum maintaining their popularity despite recent market corrections. At the core of both technologies is the cryptographically secure digital ledger known as the blockchain. It’s a digital ledger where cryptocurrency transactions are recorded chronologically and publicly. Indeed, as the popularity of cryptocurrencies has grown, so has the banking industry’s interest in blockchain for fintech, with an increased and focused push on bank-backed blockchain projects. Some of the largest projects underway include the IBM-backed Hyperledger Fabric project, the Utility Settlement Coin, and R3’s blockchain consortium, signifying a growing acceptance in institutional policy to support blockchain growth. How does it work? […]
