Open banking.
In plain English
Open banking is the practice of letting you grant outside apps permission to access your financial data directly from your bank, through secure, standardized connections rather than by handing over your login. It powers budgeting apps, lenders that verify income, and services that move money between accounts. In the United States, a Consumer Financial Protection Bureau rule on personal financial data rights is building the framework for it. The promise is more competition and easier switching; the caution is that you should share data only with services you trust and revoke access you no longer use.
01Why it matters
Open banking is quietly reshaping which apps can see and use your financial data, so understanding that you control and can revoke that access protects your privacy and security.
02The math, step by step
You connect a budgeting app to your bank through open banking. Instead of giving it your password, you approve read-only access to your transactions, and you can revoke that permission from your bank at any time.
03What this is NOT
Open banking is NOT sharing your login. It grants an app permission through a secure connection you can revoke, rather than handing over the username and password to your account.
04Receipts
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