International · Explainer
Explainer: Open Banking and Open Finance
How regulated access to account data and payment initiation reshaped retail finance.
Last reviewed 23 Oct 2026 by the Fintech Headlines desk against the official sources listed below.
Open banking
Open banking lets customers authorise third-party providers to access their payment-account data or initiate payments through secure interfaces. In the EU it was introduced by PSD2's account information and payment initiation services; in the UK it was driven by a Competition and Markets Authority order.
Open finance extends the concept to savings, investments, pensions and insurance. The European Commission proposed a Financial Data Access (FiDA) regulation in June 2023.
Official sources
This guide is general information, not legal advice. Rules change; confirm current requirements with the competent authority or qualified counsel.