Open Banking standards to cover all PSD2 Products

Thursday 23 November 2017 10:07 CET | News

The Open Banking Implementation Entity (OBIE) has expanded its initial scope with a series of important enhances that will cover all PSD2 products.

The Open Banking Implementation Entity (OBIE) is the body set up by the Competition & Markets Authority (CMA) to enable a new, secure way for customers to take control of their financial data and share it with organisations other than their banks.

The OBIE has now been asked by the CMA9 and Her Majesty’s Treasury to create open banking standards for all payment account types covered by the European Union’s second Payments Services Directive (PSD2). This will allow customers who use credit cards, e-wallets and prepaid cards to take advantage of open banking services.

The CMA has also approved several amendments that include a programme of enhancements to ensure that Open Banking delivers maximum benefits for retail customers and SMEs.

The enhancements will build on the core requirements of the CMA Order, which come into force in January 2018, and form a programme of releases throughout 2018 and into 2019.

The Open Banking project was created in 2016 by the CMA to bring competition and innovation to the personal and small business current account markets. The CMA mandated the nine largest current account providers in Great Britain and Northern Ireland (the ‘CMA9’) to create the OBIE and work with it to build a common set of API standards that would allow regulated companies safe and secure access to their accounts with the explicit permission of the customer.

A copy of the CMA’s Notice of approval of changes to the Agreed Timetable and Project Plan is available on the CMA website.

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Keywords: Open Banking, PSD2, UK, Competition & Markets Authority, online payments, online banking, credit cards, PSD2 products
Categories: Banking & Fintech | Online & Mobile Banking
Countries: World
This article is part of category

Banking & Fintech