The ultimate guide to open banking use cases
We’ve looked at millions of open banking API calls to identify the most common and most promising use cases
We’re almost three years on from the initial PSD2 deadline of January 2018, and open banking providers have emerged in almost every country in Europe.
in the EEA as of September, and only 4 countries with no providers at all (Latvia, Romania, Malta and Portugal). Of the 410, half (53%) are authorised to provide Payment Information Services (PIS), while almost all (93%) are authorised to provide account information services.
Open banking is also gaining traction among consumers, accelerated in part by the global pandemic and a surge in demand for online services. In September, the UK’s Open Banking Implementation Entity reported that usage of open banking . It also reported that one in five of 2000 adults surveyed started using online banking apps during lockdown for the first time, with more than half now using them regularly.
Yet beyond the common applications, many businesses don’t yet know what open banking can do for them – even in the financial sector.
A survey among 2000 financial institutions conducted by INNOPAY and The Paypers in May, found that most global banks, fintech, and investors are looking to learn more about use cases enabled by open banking.
We’ve looked across our customer base and at the millions of open banking API calls going through our platform each month to identify the proven use cases already driving value for consumers in Europe, including:
Smart onboarding (account and identity verification, auto-filling forms, income verification and affordability checks)
Personal finance management (finance dashboards, auto-saving and smart budgeting)
SME finances (account aggregation, automated accounting and affordability checks).
We’ve also looked at emerging use cases, where open banking is expanding beyond fintech into sectors like iGaming, marketplaces and wealth management, and is primed to take over broken and fragmented processes:
Data-driven insights and personalised services
Instant bank payments (instant account funding and one-off payments).
In the report, we cover real examples of companies driving value from open banking, from , , and to , and . We also look at how use cases might evolve in the future and consider the potential of combining them to transform the user experience.