Open banking goes live today, opening the door to faster loan approvals, easier bill management, and personalised budgeting insights, Commerce and Consumer Affairs Minister Scott Simpson says.
“From budgeting tools to faster mortgage comparisons and low-cost payment options, the opportunities and innovations presented by open banking are endless,” Mr Simpson says.
“Open banking makes it easier to switch banks by giving customers a safe, regulated way to share their financial information.
“It will make mortgage applications faster by allowing third-party services to securely gather the right financial documents in one place, especially helpful for people with accounts across different banks.
“Budgeting becomes easier too. Instead of trawling through statements, secure open banking tools can highlight spending patterns, help you stay on top of bills, and identify ways to reach your savings goals.
“Small businesses will also benefit from more choice in financial management and invoicing tools, helping them get paid faster and access innovative, lower-cost payment solutions.
“How can customers get started with open banking? Simply give consent when you use a bank or financial service that supports it, and your data is shared securely under the new regulated system.”
Open banking in New Zealand is supported by a set of regulations, established under the Customer and Product Data Act 2025.
“The regulations, released in October, align with global best practice and build on successful models in Australia and the UK, where open banking has sped up home loan approvals and enabled new consumer-friendly apps,” Mr Simpson says.
“Importantly, the regulations ensure that security of consumer data is paramount. Data can only be shared under the customer's explicit consent, and third-party requestors (such as fintechs) must be accredited by the Ministry of Business, Innovation and Employment.
“Accredited data requestors will receive MBIE’s ‘accreditation mark’, which they can display to show they are trusted and verified.
“Open banking will accelerate innovation and enhance competition in the banking sector, creating opportunities for fintechs and smaller players to deliver services that traditional banks have been slow to offer.
“I encourage fintechs to get their accreditation applications in as soon as possible to help Kiwis benefit from open banking.”