Open Banking ready for take off
1/ This article in the FT got me thinking:
Airlines to launch payments system to rival credit card groups https://on.ft.com/2jKZoi4
2/ Open Banking hasn't really got going. That's anecdotally, by the way, in that people who I talk to who don't work in fintech have literally no idea what it is.
3/ And that's a huge missed opportunity, as the real world applications of OB will, in time, be huge.
4/ So this article in the FT about airlines offering open-sourced, in-house payment options for flights was good to see.
5/ It's the first real-world application of OB principles that seems genuinely helpful and easily understandable to those friends of mine who don't work in fintech.
6/ Allowing an airline access to your banking data so they can assess the best way for you to pay for a flight is a fantastic idea.
7/ It's win/win for consumer and corporation. It lowers costs all round as well as making the transaction process far more efficient. It is what OB set out to do.
8/ We need more of these applications. Car finance. Home rental agreements. Mortgage agreements. Etc.
9/ Life's big purchases can be structured in this way, with credit card companies and their fees getting the boot.
10/ So well done the airlines and Deutsche Bank for fronting this scheme. A few more applications and OB should really 'take off'.