The Investing and Saving Alliance (TISA) has reported today that it has partnered with Moneyhub, the market leading Open Finance data, intelligence, and payments platform, to develop a set of API standards for Open Finance.
TISA’s ambitious Open Savings, Investments and Pensions (OSIP) initiative utilises Moneyhub’s enhanced sandbox to experiment with data sharing among financial services providers and fintechs. Participants in the trials include Fidelity International, Hargreaves Lansdown and Coutts & Co.
A first stage of testing with synthetic data will run from October 2021 to the first quarter of 2022 after which live customer data will be used in a beta phase lasting until mid-year 2022. Thereafter, OSIP participants that sign up to the OSIP standards will be able to access information on their accounts via the OSIP API.
The sandbox tests represent an important step in bringing Open Finance standards for the sharing of savings, investment and pensions data in line with Open Banking, especially when it comes to issues such as security, data minimisation and user experience.
OSIP takes the industry beyond Open Banking by providing standards and accessible APIs to accounts. Though not currently required by regulation, these may be covered by future Open Finance rules. In so doing, OSIP enables individuals to compare products more easily, switch to better rates and make more informed trade-offs about whether to save, invest, spend or borrow.
Developing common APIs standards for Open Finance also creates the foundation for innovative new propositions while also offering consumers a holistic view of their investments.
Moneyhub, a pioneer and champion of Open Finance and the leading UK platform offering Open Finance connections to its clients, is the perfect partner for TISA as it develops the Open Finance standard. Moneyhub has been an active member of several industry working groups, including the Pensions Dashboards Programme, and, earlier this year, its CEO Samantha Seaton joined TISA’s OSIP Steering Group.
TISA has become the pre-eminent financial services membership firm for advancing consumer focussed digital policy and industry infrastructure developments.
The partnership has been enabled by a raft of new functionality developed by Moneyhub for its sandbox. Members now have access to a test bank when they experiment with new products, and don’t need to connect with live customer data, but can instead use Moneyhub APIs to use the same standards and connect to a proxy.
Sam Seaton, CEO of Moneyhub said: “Open Finance has a monumental impact on consumers’ financial health by making visible for the first time in one place all their pensions, savings and investments, which in turn allows them to make better-informed decisions. That’s why we believe it’s imperative the industry pull together to support the development of Open Finance standards and why Moneyhub is delighted to support the OSIP initiative. And let’s remember, Open Finance is not just changing the frontiers of financial services, it is also the backbone for a new automated economy that will touch all industries.”
David Dalton-Brown, CEO at TISA, said: “Just as you can compare car insurance quite easily online today, we hope that one day soon you’ll be able to quickly and in a transparent manner review your savings, investment and pensions, so you can quickly switch from one organisation to another if you’re not getting the best available deal. For that to happen, the industry needs to collaborate on developing standards for Open Finance that are as robust and respected as those for Open Banking. Moneyhub, who participated in the development of the initial Open Banking standard and which has led the way for the industry in terms of thinking through the future of Open Finance, is the natural partner for us on this journey.”