In 2015, the European Union proposed the Open Banking Standard Initiative and accepted the Revised Payment Services Directive PSD2. The implementation of the Open Banking standards should promote faster innovations in the financial sector, and increase the competition amongst the banks.
Open Banking is a broad term that includes many different processes, from account aggregation to verifying account ownership and payment initiation.
The key point, when implementing the Directive, European banks had to enable clients to receive the information about their financial transactions (through the open APIs) in the way most convenient for the client.
As a result, bank clients were able to automatically receive information about the transactions, even without opening bank’s website, for example, see all their accounts in different banks in one personal finance application on smartphone.
For the entrepreneurs it means the opportunity of the automatic upload of the bank transactions to the accounting system,...