NEW YORK—Adoption rates of open banking payments globally are increasing, with more than 58% of fintechs now offering the type of payment for financial services products, according to a new report.
Citing data from an Access PaySuite study, The Global Treasurer noted that since open banking was introduced in 2018, the adoption of open banking payments has also grown among lenders, building societies, and credit unions, with 42%, 17%, and 11% of these providers respectively listing it on their websites.
‘Mixed Picture’
“However, a survey of consumers revealed a mixed picture when it comes to adoption and attitudes towards open banking payments, also known as pay-by-bank,” The Global Treasurer stated.
The analysis found:
- 34% currently use it to make payments in financial services
- 22% would like to do so in the future
- 16% haven’t used it and are reluctant to
- 13% said they’d never use it
- 15% were unsure
Additional Findings
The research also found that open banking payments are most likely to be used by younger demographics – with nearly half of 25-34-year-olds, and 37% of 18 to 24-year-olds, using it to make payments.
“However, over one in four of the over-55s category have used open banking to make payments, and a further 17% are interested in using it to make future payments,” The Global Treasurer said.