Overview of Open Banking changes
Table of contents:
- What's Open Banking?
- Why has Open Banking been introduced?
- What are the benefits of Open Banking?
- Is Open Banking secure?
- Do I have to use Open Banking if I am registered online with HSBC?
- How do I provide authentication in Open Banking?
- Where can I see if a third party provider is authorised to provide Open Banking services?
- What type of payments can I make with Open Banking?
- What information will be shared?
- How long will a Third Party Provider (TPP) be able to access my data?
- Can I stop sharing my information with third party providers?
- How can I withdraw my consent with a Third Party Provider (TPP)?
- Am I automatically opted in to Open Banking?
- What should I do if I have a problem with a product I bought through Open Banking?
What's Open Banking?
Open Banking allows you to share your HSBC account information with third party providers (TPPs), without sharing your log on details. It will enable third parties, such as your financial advisor or a product comparison site, to access your data and provide you with services. It will also allow you to make payments directly from your HSBC accounts from TPP websites or apps, subject to the TPP offering these services. However, we won’t share any information or allow payments without your consent.
Please note that all TPP services are offered directly by the TPP under the terms you agreed with them. Open Banking came into effect for HSBC Bahrain on 27 August 2020.
Why has Open Banking been introduced?
Open Banking is an industry wide initiative and is being introduced by the Central Bank of Bahrain (CBB). The CBB requires all banks to adopt Open Banking and to share your data with Third Party Providers (TPPs), subject to your consent. This is in an effort to give personal and business customers more control over their data and finances, as well as increase innovation and competition in the banking markets.
What are the benefits of Open Banking?
Open Banking aims to:
- provide you with a greater market choice
- give you greater control over your money and who you share your account data with
- create better and easier access to services from a broader range of financial service providers
You can share your account information with Third Party Providers (TPPs) for one or more of your current and savings accounts. You will also be able to initiate payment requests from TPP apps and websites, where available. Further updates will be provided as more services become available.
Is Open Banking secure?
All banks and Third Party Providers (TPPs) involved in Open Banking must comply with data protection laws.
TPPs will need to be registered with, or licensed by, the CBB and each TPP needs your explicit consent before they can access your account(s) through Open Banking.
Do I have to use Open Banking if I am registered online with HSBC?
You do not have to use Open Banking if you do not wish to receive the service. Your account information will not be shared with third parties, unless you specifically give your consent.
How do I provide authentication in Open Banking?
To use these services in connection with your HSBC accounts you’ll need to securely authenticate using your online banking credentials. This will provide authorisation for us to deal with a Third Party Provider (TPP). You will receive on-screen instructions to guide you through the process.
Depending on the access requested by the TPP and granted by you, HSBC will share data related to your account details, regular payments and transactions.
Where can I see if a third party provider is authorised to provide Open Banking services?
What type of payments can I make with Open Banking?
For payments within Bahrain you can make an immediate payment, set up a future dated payment or set up a standing order.
For international payments you can make an immediate payment, set up a future dated payment or set up a recurring payment.
What information will be shared?
This is up to you - we will only share your data if you authorise us to share it with a Third Party Provider (TPP).
TPPs should give you the option of sharing up to four categories of data related to your accounts. They will need explicit consent from you to access any of these four categories and they should only request the data they need for the services they are providing.
The data can be split as follows and may include:
- account details. Account name, number and sort code, account balance and any other name associated with the account
- regular payments. Direct Debits, standing orders and other payee agreements that you may have set up
- account transactions. Incoming and outgoing transactions
- account features and service benefits. The type of account you have, benefits, fees, services and interest
We recommend you take some time to read the latest TPP terms within our Personal Banking Terms & Conditions.
How long will a Third Party Provider (TPP) be able to access my data?
This will be agreed between you and the TPP and can be up to a maximum of 90 days. Once set, you are unable to amend the duration with HSBC, however you can revoke the authorisation of a particular TPP from the website or app itself.
You will also be able to manage and revoke consent with online banking.
Once an authorisation has been revoked, we won’t allow the TPP access to any further data, unless you later re-authorise. You may also want to revoke authorisation directly with the TPP to avoid them contacting you to query the changes.
Can I stop sharing my information with third party providers?
Yes, you can choose to stop sharing your data at any time and it will be with immediate effect.
You can go back to the Third Party Provider (TPP) that you agreed could access your data and ask them to stop accessing your accounts. This will usually be via their app or website, in accordance with their terms and conditions.
You can also contact us and ask for consent to be revoked for specific accounts and TPPs (See question How can I withdraw my content with a Third Party Provider (TPP)). We’ll notify the TPP that their access has been cancelled and this may affect the services they provide you.
How can I withdraw my consent with a Third Party Provider (TPP)?
You can withdraw your consent on the TPP website or app. You will also be able to manage and revoke consent within online banking.
We also recommend you take some time to read the latest TPP terms within our Personal Banking Terms & Conditions.
Am I automatically opted in to Open Banking?
No, you won’t be opted in automatically.
To take advantage of services provided by Third Party Providers (TPPs), you’ll need to provide your consent to a regulated TPP. But, if you don't provide your consent or don’t authenticate with us, your data won’t be shared.
If you’d like to use Open Banking with an HSBC Bahrain account, you’ll need to be registered for online banking.
What should I do if I have a problem with a product I bought through Open Banking?
If you have an issue with a product you bought, if it hasn’t arrived, or you received the wrong item, please contact the retailer directly.