Two fintech industry groups, FinTech Australia and FDATA’s local chapter, are calling for the Australian Competition and Consumer Commission (ACCC) to intervene in a planned systems upgrade at ING Bank.
The groups are concerned that the swap-out of ING Bank’s consumer data right (CDR) solution may place the bank in breach of its CDR obligations.
The cutover to the new system could result in the invalidation of potentially thousands of customers’ existing consents to share data with fintechs and impose reintegration costs on the fintechs receiving data.
The joint statement also claimed that not all accredited data providers under the CDR scheme have been notified of the change, exacerbating the issue. The groups are calling for ING Bank to maintain backwards compatibility with its old consent-collecting platform so that consents only expire under their intended conditions.
In December, ING Bank was fined by the ACCC for breaches of CDR rules relating to data sharing deadlines in 2021 and 2022. An ING spokesperson confirmed the upgrade, saying that it is necessary to build a secure Open Banking experience for customers and that the bank is working to make the process as seamless as possible. However, the upgrade will result in some customers having to re-consent to data sharing, which the fintech industry groups argue could damage trust in the CDR.
