New UK "open banking" rules come into effect this week, an under-reported move that could cause the largest shake-up in personal finance in years. The rules enable customers to share personal financial data with companies other than banks, allowing them to shop for better deals on mortgages, overdrafts, insurance and broadband. The move aims to open up the banking sector and make it more competitive. But critics say it's a dangerous precedent which will allow banks to charge higher fees or even cut out their own customers. Gareth Shaw from Which? “They may find you an energy deal that saves you money, but there’s no guarantee they’ve searched the whole of the energy market to find the cheapest tariff. said consumers "could find themselves in a complicated chain of providers".
New UK "open banking" rules come into effect this week, an under-reported move that could cause the largest shake-up in personal finance in years. The rules enable customers to share personal financial data with companies other than banks, allowing them to shop for better deals on mortgages, overdrafts, insurance and broadband. The move aims to open up the banking sector and make it more competitive. But critics say it's a dangerous precedent which will allow banks to charge higher fees or even cut out their own customers. Gareth Shaw from Which? said consumers "could find themselves in a complicated chain of providers".