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Online & Mobile Banking

Last tested bank APIs don't meet requirements for PSD2 – Tink study

Friday 5 July 2019 | 12:41 PM CET

Analysis conducted by Stockholm-based open banking platform Tink has found that none of the tested bank APIs released by the 14th June 2019 comply with PSD2 regulators.

Tink specialists suggest that this might potentially create a “cliff edge” scenario in September 2019 that compromises the financial services for millions of consumers. The 14th June deadline was the penultimate milestone in the PSD2 countdown – and the point at which all bank APIs needed to move to production environments, so that third parties like Tink have the required three months to integrate before September 2019.

However, only 69% of production APIs from all major banks in 12 markets are available. Tink representatives have stated that it has not been possible to integrate with any of them without encountering multiple issues that have resulted in manual intervention from the bank side. Considering the reality we face, all parties involved would benefit from more time, Tink says.

A similar concern was voiced by The Financial Data and Technology Association (FDATA Europe), in association with the European Third Party Providers Association (ETTPA), who highlighted a material risk to individual and business consumers in the next phase of the implementation of the Regulatory and Technical Standards (RTS) of the EU’s second Payment Services Directive (PSD2) within a material issued in May 2019: The Unintended Consequences of PSD2 RTS An assessment of PSD2 Implementation Challenges and Risks.

The material issued by the ETTPA made the point that the simultaneous attempt to encourage innovation and to introduce new payment security measures is at the root of these unintended consequences, including the deterioration of existing consumer services, the introduction of security risks to banks, interruption to retail card and bank transfer payments, and significant disruption to Fintech firms who use open finance in their business models.

More: Link
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