The ID Co Selected To Launch CYBG’s First Open Banking Solution
The ID Co, the Scottish software company that supplies digital identity and open banking solutions, has announced its partnership with CYBG to power the B mobile banking app.
B offers customers an intuitive mobile app, with a range of interactive tools designed to offer customers a single place to manage their financial and lifestyle needs, helping them become more financially fit. CYBG recently launched its aggregation service, allowing customers to see their current account details and balances from all major banks and building societies within the B app.
Customers can now import banking data from a range of UK banks including: Barclays, HSBC, Lloyds Group, Santander, RBS, and Nationwide, as well as digital banks such as Starling and Monzo.
Open Banking Growth Opportunities
With 94% of FinTechs seeing Open Banking as a major opportunity for growth, customers are in turn expecting more sophisticated finance solutions from banks. Allowing users to employ data from a wider range of financial institutions will enable the app to give more meaningful advice in the future.
Debbie Crosbie, COO of CYBG said: “We are one of the first banks to be Open Banking ready and able to allow customers to see all their finances in one place. This is just one stage in our digital journey, enhancing the services and experiences we can offer to our customers.
“We are looking forward to a continued strong relationship with The ID Co., adding to our digital capabilities in the coming months. The ID Co. has made the process of bringing external bank data into the CYBG business seamless.”
James Varga, CEO of The ID Co added: ” The platform not only provides a simple and easy way for consumers to share their bank data, but also allows financial institutions to carry out affordability, risk, compliance and credit assessments in a matter of seconds to provide consumers with a hassle-free process of applying for loans, mortgages and other financial products.
“We have been working very closely with the CYBG team over recent months to provide Open Banking data. The move was made possible by the recent launch of API for business users of the DirectID platform. It is inspiring to see the Bank embrace the idea of live financial data and this first release is just the start with more exciting features to come.”
Unlocking Value In Data
According to the results of a recent survey by YouGov, the majority of Brits are still in the dark when it comes to understanding the impact of open banking on the industry and what it means for them personally, with only 28% of adults surveyed aware of the term.
Open banking was introduced in a bid to encourage competition through increased customer choice, by allowing, for example, account information from different financial providers to be made available for display by third party solutions and applications like money management platforms. 20% agreed that these account aggregation services provided the most value from the open banking initiative so far.
Varga also agrees. “What we are doing to further the Open Banking trend is to really unlock the value of this data. It is one thing to get access to the data, but it is what you do with it that counts.
“If you can create great experiences then it shouldn’t matter if consumers have heard about it before or not. The proof will be in the pudding and it’s the experience that will drive the adoption. If I could offer you an instant car loan, when your out shopping for the car, that was at a great rate, personalised to you and available in seconds – would you not be happy? Not because you were able to get the loan – but you were able to drive away with that shiny new car and show all your friends.
“Creating this sort of experience would be fantastic and I’m confident would prompt you to tell all your friends about ‘how’ you were able to do this.
“Consumers are only motivated by one thing – convenience.”
Over the next few months The ID Co. will continue to add support for additional UK banks, provide support for new Open Banking V2 data blocks, as well as release new products and features based on Open Bank data.