Open Finance – Prepare Now or be Prepared to Lose Out
Key Takeaways
Build fraud prevention into your brand
Improve customer acquisition rates with digital identity services that prevent fraud and reduce onboarding dropouts. You can also generate new revenues by sharing relevant information with trusted partners.
Welcome a new age of hyper-personalized services
Give your customers what they want before they know. Our paper explains how harnessing the power of artificial intelligence and machine learning gives you a commanding view of every customer’s financial footprint to drive personalized experiences based on insight.
Remain the insurance provider of choice
With the aggregation of policy information, third-party providers can begin to automate the renewal and switching process. When a policy is about to expire, you can go to the market, find the most competitive quote and start the renewal process.
GFT’s open finance roadmap
1. Understand the scope, objectives and priorities
Understand the scope, objectives and priorities of your open finance program and secure executive commitment. Goals must be clear and communicated from the top down.
2. Adopt the right target operating model
Adopt the right target operating model to deliver quantifiable open finance business benefits.
3. Consider APIs as products
Consider APIs as products and commit to continuous optimization and improvement.
4. Think cloud
Think cloud to ensure your solution is secure, open, and scalable. With cloud, you avoid unnecessary workloads on your core systems.
5. Use modern methods
Use modern methods, such as agile and DevOps, and implement a fully automated CI/CD pipeline for iterative build and release directly to production systems.
6. Engage early with third-party partners
Engage early with third-party partners and the external developer community to encourage participation in development and prioritization of your roadmap.
7. Learn lessons from open banking
Learn lessons from open banking in the UK and PSD2 across Europe, and leverage successful approaches from other jurisdictions.
8. Keep abreast of regulations
Keep abreast of regulations and build an open relationship with the regulators. Your success is in their interest.
GFT recommends a two-phase, multistream approach
GFT recommends a two-phase, multistream approach to open finance as the optimal approach. This facilitates concentration on the important aspects of business readiness and enablement, data availability and accessibility, community engagement and preparedness and finally compliance with competitive advantage.
