'Open banking’ begins today. It poses one major threat to your money

Keep them out: even the banks admit that ‘open banking’ might give rise to increased fraud Credit: Simon Dawson/Bloomberg 

Today marks a banking milestone that some have claimed is the most important in decades: “open banking”.

If you’ve somehow not heard of it yet, you soon will. Your bank will ask you – if it hasn’t already – whether you want to participate.

If you say yes, your account information is potentially shareable with other banks and businesses. The possible benefits for you are, first, convenience (you’ll be able to see several accounts just by logging in to your bank, for example) and, second, potentially better deals (other companies could point you to best buys for your level of savings).

It may turn out to be very good news, especially for those engaged customers who enjoy trying out new services, who take an active interest in their finances and who think it’s perfectly fine to apply for a mortgage via an app on their smartphone.

But whether you’re someone who will embrace the changes or shun...

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