Your data, your decision, our duty

Open banking — securely sharing your financial data to unlock improved experiences — is transforming financial services.

When people and businesses tap into this technology, they are unearthing a financial universe that works for them — faster, smarter and personalized to their needs.

Tedious and time-consuming tasks like switching direct deposits or supplying the information needed to secure a loan are rendered more efficient and accurate. Small businesses have new ways to access and obtain capital. People with thin or no credit histories can use their rent payment history to secure credit, creating paths to financial experiences previously unavailable to them, like buying a home. Consumers with multiple financial accounts across different institutions can see their financial lives in one place and be alerted to potential fraud in real time. Open banking makes all of this — and more — a reality.

The open banking landscape in the U.S. has been growing steadily over the past decade. The Consumer Financial Protection Bureau (CFPB) estimates that at least 100 million Americans  have given permission to a third party to access their account data for better services.

It’s easy to understand why — in the highly digitized age we live in, consumers expect financial experiences to be as technologically savvy as they are. They are sharing their data to obtain these services, but one factor of the experience must be prioritized above all: That data must be protected and secure.

At Mastercard, we hold ourselves to the highest standards of responsible data practices. Our Data & Tech Responsibility Principles, launched in 2019, are rooted in respecting and protecting people’s rights to own, control and benefit from their data. Privacy and security are embedded in everything we do. These commitments are central to our vision for a strong, secure open banking ecosystem that empowers individuals to take control of their financial lives.

This fall, the CFPB will finalize section 1033 of its Required Rulemaking on Personal Financial Data Rights. Consistent with our own approach to data responsibility, the regulations seek to protect consumer data ownership by affirming an individual’s right to own and harness the power of their data. Data providers such as banks will be required to make financial data available to consumers and authorized third-party data recipients, safely and securely. In turn, the third parties a consumer chooses to share their data with must provide transparent information to consumers about how their data is being used, consistent with the product or service requested, along with other obligations.

What does this mean for consumers? More clarity around where their financial data is going, who has it and what services it is being used for. Opportunities to access their data when they need it, including for better loan opportunities, faster and easier banking processes and smarter financial insights that help them plan for the future. More confidence that their financial data is just that — theirs. 

Open banking flourishes when people and small businesses have clear rights to own and control their data, but success depends on security. That’s why we work alongside all players in the ecosystem to keep it safe, every step of the way.

We are committed to maintaining the trust of consumers and our partners and building a world where every person, payment and device is connected and protected. It’s more than just a job — it’s our duty.