Speaking at the Wired conference, Revolut CMO Chad West talks through the massive wave of digital banking disruption, describing it as the inevitable consequence of traditional banks having failed to make their offering open and transparent to customers, and failing to give them control over their money.
Revolut sees Open Banking as one key foundation for achieving this improved customer service. As Product Owner Joshua Fernandes describes, it’s “a marriage between regulations and some pretty clever systems. The goal of Open Banking is to give you more control over your bank account. Specifically, to give you the ability to share your transaction data with other banks and third parties, in ways that benefit you.”
The key feature is account aggregation, being able to see the details of multiple different accounts all via the Revolut, such as your AMEX account.
What’s the Big Deal
As FinTechFutures writes in What’s the Big Deal:
“The implications cannot be overstated. One-in-four UK consumers have one or more current accounts – when it had previously been a pain to manage multiple accounts across different banks, account types and locations, these pain-points are effectively eliminated. Open banking will encourage consumers to be more agnostic with credit cards and savings accounts. It could well spell the end of bank loyalty.”
They describe how it represents an inflection point not just for the banking sector, that this opening up will lower the barriers to innovation across industries such as refund/credit and inventory buying, and to entrants like Amazon.
In France the new Open Banking feature allows Revolut’s retail customers to connect their Crédit Mutuel, Caisse d’Epargne, Banque Populaire, Crédit Agricole, Société Générale, BNP Paribas and Hello Bank! bank accounts to Revolut. In Italy they can connect their Intesa Sanpaolo, UniCredit, UBI Banca, Banco BPM and Poste Italiane bank accounts.
As TechCrunch reports Revolut has partnered with TrueLayer to enable their Open Banking capability. Their CEO Francesco Simoneschi believes “this is the moment Open Banking will go mainstream. Revolut is putting this feature at the very core of their customer journey and will set the standard for the next phase — not just in the U.K. but everywhere.”
In their case study they explain how Revolut utilizing their Data and Payment APIs to achieve the integration.
Revolut publish their open API here, highlighting the overall innovation-enabling ecosystem these integrations encourage and make possible, such as QuickFile, who transitioned to Revolut’s new Open Banking feed in Nov 2019, enabling Revolut business customers to automatically import and reconcile bank transactions within QuickFile.