Open banking is proving to be more than just a flash-in-the-pan for financial institutions hoping to be more tech-savvy and widen their appeal to digital customers. But this approach to financial services, which embraces the use of applications, needs to be secured as well as more traditional services.
At its heart, open banking — the use of open application protocol interfaces (APIs) in financial services — presents a huge opportunity for banks, credit unions and all other financial firms interested in emulating the more accessible services of other technology offerings. It provides myriad opportunities for financial firms and their customers to work with third parties, sharing financial information more easily.
However, open applications can also provide a new attack vector for cyber criminals. Hence, financial institutions are trying to plan their approach to open banking with IT security in…
