What is Open Banking, how could it support your business and is your data safe?

Photo of Faith Reynolds

Faith Reynolds

What is Open Banking? How could it support your business or social enterprise?

Is your data safe?

And is there a danger that Open Banking might facilitate discrimination against people who are already financially vulnerable?

Faith Reynolds is the Open Banking Consumer Representative. She’s part of a steering group responsible for delivering the technology that underpins the Open Banking initiative.

In May I interviewed Faith for the Responsible Finance podcast, which I produce. Since her interview will also be of interest to listeners to my Business Live radio show, I broadcast it in the latest (7 June) episode.

Faith describes how and why you might choose to share your data through Open Banking; how the technology works; controlling who has access to your data; how Open Banking could address late payment issues, and more.

Here’s the podcast, which you can also access in iTunes, Stitcher or Spotify. Full timings are below.


  • 0 – 5:05 introduction and updates: UK Social Enterprise Awards are open for entries; recap of last week’s show; forthcoming events including the Social Enterprise Exchange meetup and a free SEO training and website analysis session from Mantra Media; getting in touch,
  • 5:05 Open Banking and Faith Reynolds
  • 6:00 What is Open Banking? A couple of examples of how and why you might choose to share your data – and an introduction to payment initiation.
  • 8:45 Aggregating financial information into one place.
  • 9:10 How does the technology work? How do people control who has access to their data?
  • 11:07 firms accessing Open Banking data need to be registered and approved by the FCA and Open Banking.
  • 12:55 If providers don’t continue to meet regulations what penalties could be imposed? And what happens if money leaves your account which you’ve not authorised?
  • 14:00 What about data breaches?
  • 15:00 How to protect yourself from scams.
  • 16:15 What questions should you ask of firms wanting access to your data through Open Banking?
  • 19:55 Somewhere along the line a service has to be paid for, so find out how.
  • 21:26 How can Open Banking help people who are financially excluded?
  • 24:35 The concept of digital pots and spending alerts can help people budget more effectively.
  • 26:28 Debt advice can be made easier through Open Banking, says Reynolds.
  • 27:50 How biometrics could be used to help create more financial inclusion.
  • 28:30 What about people with no bank account?
  • 30:00 Jam-jarring to allocate money to different budgets.
  • 31:30 Payment initiation can also help people with low and fluctuating incomes, as it’s more flexible than direct debits.
  • 32:50 A future scenario: combining financial, energy use and other data could alleviate fuel poverty.
  • 34:10 How can Open Banking benefit businesses, social enterprises and the self-employed?
  • 36:10 Payment initiation can be a much less expensive way for small businesses to accept card payments – saving alot of money.
  • 37:10 “Request to Pay” could also deal with late payment issues, says Faith.
  • 38:20 How will Open Banking help Responsible Finance providers (and credit unions) – and what should they be doing and thinking about?
  • 41:49 Will Open Banking facilitate discrimination against, or penalties for, the financially vulnerable?
  • 45:52 What developments will we see in Open Banking over the next 12-24 months?
  • 47:00 And which of these will be most relevant to responsible finance providers?
  • 47:50 Faith has a long-term commitment to financial inclusion. How has this influenced her work?
  • 52:32 – end wrapping up

What next:

  • Enjoyed the show? Please leave a review or rating on iTunes or Stitcher. Subscribe for new podcasts too.
  • Find the Open Banking website here and the list of regulated providers here.
  • Sheffield Live’s website is here.
  • The Business Live radio show is broadcast live every Friday on Sheffield Live radio and available as a podcast in iTunes here.
  • To get new podcasts and practical advice in an accessible, entertaining format, join my free newsletter email list (if you’re not already signed up). Just pop your details in below and look out for a confirmation email.
Your email address is secure and NEVER shared and you can unsubscribe at any time.

Speak Your Mind