Open banking has been around for some time. More and more people are beginning to become familiar with what it is. However, the term may become better-known yet it still doesn’t mean that users are fully familiar with what exactly it offers. So, we’ve decided to compile a list of Open Banking API examples or, more specifically, some shortened case studies with examples of successful implementation. There are many different ways to implement and utilize open banking tech and here are 7 of them!
1. Open Banking API in Personal Banking
Probably the area with the most open banking API examples of implementation, personal finance, and personal banking can sometimes be needlessly complex. In the past, most of the services were only accessible in person, because the specialists needed to access your file, analyze and only then, make personalized suggestions.
Right now, personal banking matters can be automated. With AI capabilities on the rise, API solutions for personal banking can tell you how to improve your habits in order to achieve your goals. They can also track expenses in real-time, making budget management super simple and much easier, as a result.
2. APIs in Consumer Loans
For the most part, digital technology eliminates the difficulties of verification. That’s been a major focus point for service providers and developers too. The faster and more efficient way to verify data and creditworthiness has opened up many doors for loan companies and mortgage brokers to provide faster evaluation and grant loans quicker than before. Through an AISP API, companies can gather and analyze account information and history from the past 24 months to screen it and make a decision regarding the loan application. AI tools are also used for better risk management.
3. Mortgages
Regarded as one of the cornerstones of financial decisions that a person makes in their life, getting a mortgage was never easy. There were a lot of hoops for clients to jump through before they could get a mortgage. Even though they had the paperwork ready and their income was solid, the verification and preparation on the bank’s end could take weeks or months, even. Just as we mentioned in the previous paragraph, open banking API implementation examples have shown that both traditional lenders and innovative companies have enabled AI and robotic process automation to speed up mortgage application processing.
On their end, costs came down whilst they were able to do more business and sign more contracts all whilst mitigating risks.
4. Tenancy and Real-Estate
For a long time, the market of real estate was the opposite of digitized and progressive. If you wanted to rent, buy or do anything with property, you had to do it manually, meet people face-to-face, engage in long processes, etc. Some of those processes were needlessly too difficult. As of now, thanks to API tech and open banking, technology can cater to the needs of professionals, owners, and investors alike. Using open banking, any individual’s (tenant) financial health can be evaluated. It’s much faster and more efficient!
5. Insurance – a Surprising Implementation with Great Benefits
When you think about insurance, you rarely think about technology. The service is very easy to understand, although it has its own nuanced complexities. However, users often consider insurance to be needlessly expensive. Especially when contracts are signed through brokers, people often feel like they didn’t get the best deal. Once again, open banking-driven API tools are able to evaluate the creditworthiness and find the best deal, most suited to a customer, according to their financial health.
6. Open Banking API Technology is Thriving Managing Payments
There is no lack of PISPs out there. Payment Initiation Service Providers focus on improving how digital transactions to merchants or providers are done.
With PSD2, there’s the new dimension of authenticating every significant payment, hence, there’s no better way to manage payments than with API technology, currently. It’s truly a success story with standalone payment service providers becoming billion-dollar unicorns and changing the way financial markets operate.
7. Online Casinos
Casinos would likely not be the first thing that comes to mind when you think about the implementation of API tech. However, open banking API implementation examples have to mention the work that has been achieved in the sphere of online gambling. These APIs help prevent fraud by authenticating users and offer instant payouts, deposits, and simplified gambling, in general.