Skip to main content

U.S. Consumers Are Ready for Open Banking, According to New Report


NEW YORK—A new report suggests U.S. consumers are ready to move to open banking, a trend already well underway in other parts of the world.

“The financial landscape in North America is primed for a meaningful reshaping. New technologies enabling secure data exchange, interoperability, and faster payments are all contributing to the emergence of a more streamlined, efficient financial ecosystem,” Ripple said, citing data from its latest study. 

Open Banking

According to the Ripple analysis, increased consumer demand is driving a surge in open banking adoption, with 71% of U.S. consumers saying they’d rather make purchases or pay bills directly from their bank account.

‘Not All Blue Skies’

“This shift has big names like Coinbase and Mastercard jumping on board, but it’s not all blue skies,” Ripple stated. “Patchwork regulatory frameworks and educational initiatives may be hindering widespread adoption. Only 34% of U.S. consumers using open banking technology are aware of it, and open banking regimes are delayed across the region.

“At the same time, the launch of FedNow—the United States Federal Reserve’s instant payment service—and the ISO 20022 messaging standard are helping modernized payment systems and financial services to gain traction,” the report continued.

FedNow a Driver

The report notes several industry observers and participants are predicting FedNow will drive a greater rollout of instant payment offerings. These will be enabled by ISO 20022 and its ability to facilitate more detailed payment communications, straight-through processing, and greater processing accuracy, Ripple added. 

Comments

Post a Comment

Please no profanity or political comments.

Popular posts from this blog

Let the Truth be Told - Why a New NCUA Rule Could Jolt Credit Union Innovation

The National Credit Union Administration has finalized a rule to improve board and executive succession planning within the credit union industry. This strategic move aims to curb the trend of mergers driven by technological stagnation and poor succession strategies, ensuring more credit unions maintain their independence and enhance their technological capabilities. By Ken McCarthy, Manager of marketing communications at Tyfone Credit unions are merging out of existence because of an inability to invest in technology, the National Credit Union Administration Board wrote when introducing its now finalized rule on board succession planning. The regulator now requires credit unions to establish succession planning for critical positions in their organizations. But it’s likely to have even wider effects, such as preserving more independent charters and shaking up the perspectives of those on credit union boards. “Voluntary mergers can be used to create economies of scale to offer more or ...
Post a Comment
Read Complete Article HERE>»

Armand Parvazi MBA CUDE - Last Friday marked his last day with New Orleans Firemen’s Federal Credit Union.

It’s been an incredible journey, but it’s bittersweet to announce that Friday marked my last day with New Orleans Firemen’s Federal Credit Union. We've accomplished so much together in my six years as Chief Administrative and Development Officer. Some of the highlights: Implemented a data-driven marketing strategy that delivers over 1,800% annual ROI. Developed automated triggers to ensure members receive the right offers at the right time. Grew assets by 61% and increased products per new member from 1.88 to 2.62. Converted online banking to enhance the member experience. Introduced a loan origination system for faster and more efficient loan processing. Transitioned to a mobile-first financial institution to meet members where they are. Pioneered the first Cancer Care loan pause program in the nation (in collaboration with Andy Janning ) Secured nearly $17 million in grants for our impactful work. Expanded our field of membership to 35 parishes and counties and added numerous fi...
Post a Comment
Read Complete Article HERE>»

Biggest Social Security Changes for 2025

  Chris Gash Facebook Twitter LinkedIn Monthly payments are going up, and drop-in service at SSA offices is largely going away The  cost-of-living adjustment  (COLA) may be the most widely anticipated way Social Security changes from year to year, but it’s far from the only one. Inflation, wage trends and new policies directly affect not just the more than 68 million people receiving Social Security benefits but also the estimated 184 million workers (and future beneficiaries) paying into the system.  Here are seven important ways Social Security will be different in 2025. 1. Cost-of-living adjustment Inflation continued to cool this year , resulting in a  2.5 percent COLA  for 2025 for people receiving Social Security payments, down from  3.2 percent in 2024 . The estimated average retirement benefit will increase by $49 a month, from $1,927 to $1,976, starting in January, according to the Social Security Administration (SSA). It’s the lowest COLA i...
Post a Comment
Read Complete Article HERE>»