Open Banking is built on a simple concept: you, as a customer, own your financial data. Historically, banks had sole control over this data, and there was no secure way to aggregate it outside the banks' legacy systems.
Open Banking changed this with secure API integrations, allowing end-users to share their data with third-party developers. Whether it’s a fintech developing a Buy Now, Pay Later (BNPL) platform that needs to check your credit history, or an e-insurance platform that wants to verify your identity and bank account ownership.
There are tens of use-cases that are being developed on top of the open banking infrastructure but none of them would work without the answer to the below question.
Do you give your Consent?
Consent in open banking refers to obtaining, managing, and auditing the customer consent for sharing their financial data with third-party providers (TPPs). This framework ensures that data sharing happens transparently, with explicit customer authorization because again. You. own your financial data and with Open Banking. You. Consent on who to share it with
Why is Consent Management important?
1. Empowering Customers: With control of data in the hands of the customers, individuals make informed decisions about who accesses their financial information and for what purpose.
2. Transparency: By clearly communicating the terms of data sharing. Customers are informed about what data is being accessed, by whom, and for how long!
3. Security and Privacy: Proper consent management enhances data security by ensuring that only authorized entities access customer data, mitigating the risk of unauthorized access and potential data breaches.
Is providing consent using Open Banking safe?
Security is key for open banking with almost bank-level security, here’s how MIS Connect ensures protection:
1. Encryption: All consent transactions are encrypted, sensitive information remain secure during transmission and storage.
2. Two-factor authentication: To grant consent, customers undergo two-factor authentication, adding an extra layer of security to prevent unauthorized access.
3. Consent Revoke Capabilities: Customers can revoke their consent at any time, immediately halting data sharing. This capability ensures customers retain ongoing control over their information.
At MIS Connect, Secure and user-centric consent management solutions are pioneered to the highest standards of privacy and security. By embracing this, we are paving the way for a future where open banking thrives, powered by trust and transparency. Join us in this journey to redefine the financial landscape in Saudi Arabia, ensuring that innovation and security go hand in hand.