By Gerhard Greyling, head of financial services at Wipro Limited.
We have already seen huge changes in the world of banking. Digitalisation means that people are banking from their mobile phones, making payments via barcode scanning and even in some cases transacting using cryptocurrency. Home loans can be approved in almost real-time, and a selfie can be used to open a bank account – all without ever physically entering a branch.
However, this is just the tip of the iceberg: the banking world is about to be shaken up, thanks to a legislation known as the European Union Payment Services Directive 2, or PSD2.
PSD2 and the concept of ‘open banking’
PSD2 is not a new concept, having been adopted by European Parliaments in 2015 with the express purposes of contributing to a more integrated and efficient payments market, levelling the playing field for payment service providers, driving competition which lowers the cost of payments, and protecting consumers by making payments more secure. South Africa will not remain unaffected by this legislation, and local financial institutions, their customers, and the payment industry stand to benefit as much as those across the seas.
The growing adoption of PSD2 is paving the way for a concept known as ‘open banking’. Open banking refers to the use of APIs and open source technology to enable third party developers to access data traditionally held by financial service providers, or banks, and build applications or services around this data. It also allows consumers to control the transparency of their data, equipping them with the power to allow the sharing of their data with selected third-party providers to offer them services based on their financial information.
Open banking has been fuelled beyond the borders of Europe as regulators of more than half of G20 countries being expected to create open banking API standards by the end of this year.
The rise of third party FSPs
Essentially, PSD2 means that banks will no longer be the only, or main, stakeholders in both the control of consumer financial data and initiation of payments. The legislation gives rise to the inception of two new types of players that will create a more competitive banking environment by lowering payment costs and providing more choice for consumers.
Account Information Service Providers (AISPs) are emerging as new operators in a world traditionally dominated by banks. AISPs are able to access consumer financial information from multiple financial institutions at the express permission of consumers.
They analyse this data in order to determine a consumer’s spending habits, financial behaviour, and financial history. This data is then collated and consolidated into a single overview on the consumer, which the consumer can then request to be shared with third parties who can tailor services around their specific profile.
Payment Initiation Service Providers (PISPs) are providers who initiate payments on behalf of a consumer. Although we currently have many payment options, they all still pass through a bank. PISPs will enable services such as peer-to-peer payments and bill payments without touching a traditional financial institution.
The rise in competition for both banks and competing PISPs means that the cost of payments will lower significantly, and consumers will be able to better control how they make payments.
Click here to read more benefits and challenges of open banking.
Nintendo announces Stranger Things 3 game
The Netflix Original show is set to launch a retro-style game on the Nintendo Switch.
In collaboration with Netflix, developer BonusXP has created Stranger Things 3: The Game. It is the official companion game to Season 3 of the hit original series. The game and latest season are expected to launch on US Independence Day, the 4th of July, a date that will, of course, stick in American gamers’ memories.
This adventure game blends a distinctively retro 16-bit art style, reminiscent of games from the time when the series was set. It is claimed to have modern gameplay mechanics to deliver nostalgic fun with a fresh new twist. Players will be able to experience their favourite show through a mix of exploration, puzzles, and combat.
Just ad in the show, teamwork is at the heart of Stranger Things 3: The Game. Players can team up in a two-player local co-operative, or in single player mode alongside an AI partner. Players can choose to play as one of twelve characters from the show, each with different abilities and attributes. Together, they’ll play through familiar events from the series, while also uncovering never-before-seen Stranger Things secrets, ensuring a fun experience for those new to the world of Stranger Things as well as for those familiar with the series.
- Experience the show in a new way, exploring the eerie world of Hawkins to uncover new mysteries beyond what’s seen in Season 3.
- Jump right into the action of this pick-up-and-play adventure: gameplay mechanics that allow players from beginner to advanced skill levels to get in on the fun.
- Take your game to a higher level by trying out different character combinations and collecting all the secrets the expansive world of Hawkins has to offer.
- Team up with a friend, leveraging drop-in/drop-out local co-op to take on the mysterious monsters of Hawkins together. While playing solo, use a collection of “buddy commands” to control both characters and still experience all the fun.
- Choose from 12 playable characters, each with their own unique talents and stats.
New AirPods and iMac in iStore this weekend
iStore has announced availability of the new second generation AirPods and iMac, unveiled this week, in store this weekend.
“AirPods revolutionised the wireless audio experience with a breakthrough design and the new AirPods build on the magical experience customers love,” said iStore in its announcement. “The new Apple-designed H1 chip, developed specifically for headphones, delivers performance efficiencies, faster connect times, more talk time and the convenience of hands-free ‘Hey Siri’.”
AirPods come with either a standard charging case or a new wireless charging case that works with Qi standard chargers. The wireless charging case can be ordered for R3 699. The case can be used with the first or second generation AirPods.
The iMac line now has up to 8-core Intel 9th-generation processors and powerful Vega graphics options, delivering dramatic increases in both compute and graphics performance. The new iMac is faster for everyday tasks, up to demanding pro workloads. It includes retina display, all-in-one design, quiet operation, fast storage and memory, modern connectivity and macOS Mojave.