How can we accelerate the adoption of Credit Decisioning Open Banking in France?

Open Banking has rapidly become a hot topic in the financial sector, and particularly in the credit sector.

Open Banking is materialized through the application of the second European Payment Services Directive (PSD2), which stipulates that customer banking data is the property of the customer, not the bank. The latter are therefore obliged to share this data with third parties if customers give their consent.

Among its first concrete applications, the most promising is certainly the assessment of borrowers' risk profile through the analysis of their daily banking transactions, revealing both their budgetary situation and their financial behavior.

From the point of view of the general public, Open Banking is largely an empty concept, not only because it is very recent and not yet widespread, but above all because only its concrete applications represent any value whatsoever in their daily lives.

To date, 31% of French people would agree to connect their bank account for credit purposes!

Against this backdrop, and in order to measure French people's receptiveness to the use of Open Banking in credit with a view to facilitating their access to credit, Algoan conducted a two-phase study in Q4 2020.

The objectives of the study are :

• Measure the awareness and adoption rate of Credit Decisioning Open Banking in the credit process;
• Understand the general public's appetite for a new
  solution for accessing credit via "Credit Decisioning Open Banking";
• Identify the stakes, the obstacles and the supporting arguments with the aim
  of evangelizing Open Banking in a credit program aimed at
  the general public;
• Identify the rules for success and the mistakes to avoid in order to promote
  Open Banking to borrowers.