Yapily published a report towards the end of last year that cited the cost-of-living crisis , driven by high inflation and interest rates and rising energy costs , as a major source of concern for 95 % of people . This is an area where open banking could have a really positive impact on consumers ’ lives . According to the report , around twothirds of respondents had started using new financial tools for the first time to help them budget , manage their bills or check their credit score .
Do people need to understand the term ‘ open banking ’? Despite these promising signals for adoption , Yapily ’ s survey also raises a potentially detrimental side-effect of open banking ’ s meteoric rise to success . It found that 52 % of ordinary consumers have not heard of the term ‘ open banking ’, despite an increasing number of people enjoying financial tools that rely on it . So is it important that consumers are educated about open banking and understand what ’ s involved ‘ under the hood ’, so to speak ?
Rolands Mesters , CEO and Co-Founder at Nordigen , believes that it ’ s important for consumers to understand that open banking is a trustworthy technology . “ The early adopters need to be sure that nothing funky is going to happen with their most precious assets ,” he says . But this doesn ’ t mean they have to call it the same thing that industry
50 March 2023