The May 2025 report analyzes CFPB Rule 1033, which mandates standardized data-sharing to empower consumers and foster competition in financial services. Despite legal and political challenges, open banking is advancing, driven by institutional investment and consumer demand. Security remains a major hurdle, requiring identity verification, consent management, and API protections. Early adopters will gain a competitive edge through better customer experiences, while laggards risk losing market share. The rule marks a pivotal shift toward data portability, enabling consumers to access and share their financial data with third-party providers.

Join for free to read