In most cases , financial services data isn ’ t lacking in quantity – it ’ s the integrity of that data that ’ s the biggest challenge .”
He believes that , as part of strong data governance , fintechs should ensure they have a data catalogue which precisely defines its ownership and ability to set data policies and specific standards , and implementing a data quality management framework .
The difference between fintechs and legacy organisations In many cases , fintechs have an inherent headstart on legacy institutions . Many were founded on cloud technologies , and , with the exception of some early fintech pioneers , most will be free from the shackles of legacy technology .
The challenge for fintechs comes with the sheer number of data integrations that are necessary to offer services to customers . “ Fintechs often need to integrate data from sources such as banks and data enrichment credit bureaus ,” Reilly explains . “ These companies use methods such as APIs , data lakes or data warehouses to consolidate this and manage the data more effectively .”
“ A good customer data strategy should enable smarter and more informed decision making , as well as helping organisations to offer a better and more personalised level of service ,” Potts continues . fintechmagazine . com 51