86 400 has partnered with Envestnet | Yodlee and adopted its platform, which will enable the neobank’s customers to see all their accounts in a central location.
According to Envestnet | Yodlee, the partnership will enable financial data access to over 100 financial institutions across Australia, and the ability for 86 400 customers to have control over their data.
Commenting on the partnership, Envestnet | Yodlee country manager for Australia and New Zealand Tim Poskitt said: “Consumers don’t have to wait for open banking to access and use their own data. Envestnet | Yodlee’s data aggregation enables consumers to link their financial accounts with tools and products that deliver better financial outcomes. That’s what 86 400’s products provide.”
According to Mr Poskitt, Envestnet | Yodlee’s experience with varying degrees of open banking regulation across global markets has highlighted the importance of consumer control of data.
He added that while competitive markets could ultimately benefit consumers, they are dependent on a consumer’s ability to link their financial data from one provider to another.
“Open banking is about providing consumers with real choice to select the products that best support their financial situation,” Mr Poskitt said.
“It’s this choice that ultimately leads to better financial outcomes. 86 400 is ahead of the curve in a market still coming to grips with the Consumer Data Right and open banking. We look forward to continuing to work with 86 400 to supercharge the financial lives of Australian consumers.”
Mr Poskitt recently weighed in on the consumer credit reforms and the federal government’s proposed to scrap responsible lending obligations (for which consultation recently closed), warning that relaxing the laws would increase the risk of lending to consumers who cannot afford to borrow.
As such, he emphasised the need for lenders to implement solutions that provide them with rich and accurate data on a borrower’s financial status to “facilitate near-instant verification of borrower financial data”.
In the absence of this data, lenders would have to put in a “a lot more effort to review the documentation, the income verification process and the qualification of any expenses through the full process”, he said.
Speaking about the neobank’s implementation of the data analytics platform, 86 400 chief information officer Brian Parker said: “The average Australian’s financial world can be very complex, with numerous accounts for numerous products across different financial institutions.
“By partnering with Envestnet | Yodlee, we’ve given our customers the ability to see all their accounts in one place, delivering a better view of their financial lives and helping them take control of their money.”
[Related: NAB partners with fintech lender]
Malavika Santhebennur is the features editor on the mortgages titles at Momentum Media.
Before joining the team in 2019, Malavika held roles with Money Management and Benchmark Media. She has been writing about financial services for the past six years.