Country _ Name
Online banking services
FinTechs belonging to this area offer traditional banking services in a modern way, usually through online services or mobile applications as well as ancillary services – e.g. enabling customers to manage their giro- or custody-accounts online and in real time or offering e-wallet services. Keywords in this context are also API-Banking or Banking as a Service (BaaS)/ Bank as a Platform (BaaP).


API stands for application programming interface and is offered to access data banks and to extract and insert information. API-Banking consequently means the access to data banks of banks to offer new and innovative banking applications.

Through these services FinTechs offer services with new functions, e.g. enabling customers to manage their accounts online and in real time.

BaaS – Bank as a Service/BaaP – Bank as a Platform:
The API-based Bank as a Service platform has a full banking licence, but merely serves as the back end for standalone independent FinTechs, which “use” the licence and the back end of the bank to offer new financial services, launch additional financial products or expand into additional markets.


Attitude of the country towards online-banking services

Open banking and the use of FinTech’s is encouraged in Australia. In 2019, the Consumer Data Right was passed to allow open banking in Australia. Open banking allows for greater visibility and control over customers’ data. 

API banking has led to increased efficiency within the open banking sector. Frollo published its 2021 results and found that based on over 15 million API calls in Australia, the response time was on average 0.86 seconds and reliability of 98.8%.

Banking-as-a-service models are also starting to be more greatly utilised with the option of enabling businesses to offer banking services without a banking license.

Legal affairs

Obligations and requirements to provide online-banking services described above

Online banking services are required to be accredited by the Australian Competition and Consumer Commission (ACCC) and receive Consumer Data Right (CDR) Accreditation. Once an entity has received its CDR accreditation, they can receive consumer data to provide an online banking service or product.

The CDR framework is formed by the Competition and Consumer Act 2010, Competition and Consumer (Consumer Data Right) Rules 2020, and Consumer Data Standards.

The process of applying for the accreditation includes providing evidence of the company's CDR policy, services that they will be provided, and any outsourcing arrangements. The company must demonstrate that:

  • they are a fit and proper person or organisation to manage CDR data;
  • have taken steps to adequately protect data;
  • possess internal despite resolution processes that meet the CDR rules;
  • belong to a relevant external dispute resolution scheme;
  • have adequate insurance; and
  • have an Australian address for service.

Additional comments regarding the legal situation for online-banking services or what FinTech’s must be aware of in this business area

Online banking regulation will likely receive further reform with the government already working to expand existing CDR rules. The expanded regulation aims to give consumers greater payment options, and control over their data.

Economic conditions

Market size for online-banking services and biggest companies in this business area

The increase in people using digital wallets and banks being closed during the nume
rous Australian lockdowns has led to online banking as a major market in Australia, with more than 80% of Australians preferring to bank online rather than in a banking branch. 

Additional comments regarding the economic situation for online-banking services or what FinTech’s must be aware of in this business area

Open banking, since its launch in 2020, has 16 banks, who represent 85% of household deposits as date holders. More and more banks and services will revert to open banking as the system continues to improve.



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