Staying in control of your payments with Open Banking involves leveraging the benefits of Open Banking whilst also managing the associated risks. Here are some steps you can take to ensure you maintain control over your financial transactions when using Open Banking:
Understand Open Banking
Educate yourself about what Open Banking is, how it works and the rights and responsibilities it entails. This knowledge will empower you to make informed decisions about sharing your financial data.
Choose Reputable Service Providers
When using third-party apps or services that access your financial data through Open Banking, make sure they are reputable, licensed and regulated by relevant authorities. Check user reviews and do your due diligence before sharing your information.
Review Privacy Policies
Carefully read the privacy policies and terms of use of any third-party apps or services you use. Understand how your data will be used, stored and shared, and be comfortable with their data handling practices.
Use Trusted Apps
Only use companies that you trust and that can validate their legitimacy. Read online reviews and research them in advance.
Enable Multi-Factor Authentication (MFA)
Whenever possible, enable MFA for your financial accounts. MFA adds an extra layer of security, requiring you to provide multiple forms of verification before accessing your account.
Regularly Monitor Your Accounts
Keep a close eye on your bank and financial accounts. Regularly review your transactions and statements to spot any unauthorised or suspicious activity promptly.
Set Transaction Limits
Some Open Banking apps allow you to set transaction limits or restrict certain types of transactions. Use these features to limit potential financial risks.
Revoke Access
You have the right to revoke access to your financial data at any time. If you no longer use a third-party app or service, or if you’re concerned about security, revoke its access to your financial accounts.
Use Strong, Unique Passwords
Ensure that you use strong, unique passwords for your banking and financial accounts. Avoid using the same password across multiple services.
Regularly Update Apps and Software
Keep your banking apps, operating system and antivirus software up to date to protect against security vulnerabilities.
Beware of Phishing
Be cautious about unsolicited emails, messages, or calls requesting your financial information. Always verify the legitimacy of the request before sharing sensitive data.
Secure Your Devices
Ensure that the devices you use for online banking and Open Banking transactions are secure. Use screen locks, PINs, or biometric authentication to protect your device.
Know Your Rights
Familiarise yourself with your rights regarding data protection and privacy, especially under relevant regulations like GDPR in Europe. You have the right to access, correct and delete your financial data.
Seek Professional Advice
If you have concerns about Open Banking or need assistance with managing your finances, consider consulting a financial advisor or expert.
By following these steps and being proactive about your financial security, you can effectively manage your payments and maintain control over your financial data when using Open Banking services.
