The beauty of this is that you don’t have to hand over your full access details which are at the mercy of the third-party’s security. Whilst most personal finance management (PFM) aggregators have high levels of security, this adds another layer of comfort for those who are paranoid about their data.
I’ve thought for a while that this sort of approach would be necessary to promote the use of PFM tools.
Unfortunately, it may not be high on the list of priorities for most UK banks. Whilst a few are starting to offer their own limited PFM tools, they’re all pretty protective of their client’s data – not just from a security perspective, but because they feel it’s their data, and hope that it will eventually hold value for them, but they’re still exploring how they can unlock this value.
Of course, their customers think differently; they feel it’s their data, and should be able to do what they want with it, although they have their own responsibilities to keep it secure.
ING’s new feature allows the client to give access to their data to third-parties in a more secure way, and I hope other banks start to realise the value of this and follow suit.
- Folio App: Save Small Amounts For Specific Goals (November 30, 2016)
- Pariti: Free App To Pay Off Debt & Start Saving (September 21, 2016)
- Ernest: Latest Chatbot To Bring Artificial Intelligence To Your Bank Account (January 25, 2017)
- £20m Stolen From UK Bank Accounts Thanks To Malware (October 14, 2015)
- Share Dealing on Facebook: A Glimpse Into The Future? (June 22, 2016)