Illion Open Data and Credit Simple become CDR recipients

Both illion Open Data Solutions (ODS) and Credit Simple have been accredited by the Australian Competition and Consumer Commission (ACCC) as data recipients under the Consumer Data Right (CDR). 

The CDR, part of the open banking regime, enables consumers to provide accredited recipients with access to their data.

Currently, CDR is only operating for customers of the four major banks, who can share their banking data from a range of personal accounts (for example, savings accounts and term deposits) to accredited data recipients.

The regime will extend to big four banking data from home loans and personal loans from November 2020. 

Data from joint accounts, closed accounts, direct debits, scheduled payments and payees will also be available in due course.

Accredited non-major banks and non-banks will begin sharing open banking data from mid-2021.

So far, only six companies have been accredited as data recipients, with illion Open Data Solutions and Credit Simple the latest to join. 

Speaking of the news, Simon Bligh, CEO of illion, commented: “With more than 100 years’ experience in the Australian and international financial arenas, we are proud to be among the first Australian organisations playing such a key role in this new financial ecosystem, which puts data security and consumer privacy protection front and centre.

“The Consumer Data Right provides the regulated infrastructure for Australians to choose who they share their financial data with, all in a safe, secure and efficient manner. 

“It will make borrowing quicker and easier for consumers, and enable banks to process loans with less cost,” Mr Bligh said, noting that established lenders would also be able to significantly improve assessment times, be more consistent in applying lending rules, and enable automation through income and expense assessments.

He noted that “thousands” of customers using illion Open Data Solutions and the “1 million members” of Credit Simple will be able to “enjoy the benefits of open banking”.

“It’s a great opportunity for lenders to rethink how they can compete by improving each of their products and services – so products are now directly tailored to customers’ individual needs,” he said.

“Businesses that don’t embrace the increasing power of data and regulated infrastructure like this may find it a lot harder to compete in the longer term,” Mr Bligh concluded.

[Related: NextGen.Net eyes open banking space with new acquisition]