/security

News and resources on cyber and physical threats to banks and fintechs worldwide.

Discussion
It’s not too late to fix Australia’s Open Banking bungle, but industry must lead
Ketharaman Swaminathan

Ketharaman Swaminathan

  Screen Scraping and Industry Innovation have made Open Banking USA (80M users) way more popular than Open Banking EU (5M users) that relies on API and Regulation. Open Banking: EU v. USA
Will Variable Recurring Payments kill direct debits?
Ketharaman Swaminathan

Ketharaman Swaminathan

  @MelvinHaskins +1. Hope the OP will enlighten us!
Will Variable Recurring Payments kill direct debits?
Melvin Haskins

Melvin Haskins

  Ketheraman, you are quite right. In the UK you can cancel a VADD at any time by just contacting your bank. The same is true in the US. As a result, as a consumer, I cannot see any difference whatsoever.
Will Variable Recurring Payments kill direct debits?
Ketharaman Swaminathan

Ketharaman Swaminathan

  True dat. In India, the Consumer / Payor has full control over the new UPI / eNACH autodebit instrument in terms of cancelling it anytime on bank website unlike the old ECS mandate for autodebit that required the payor to contact the merchant to make any changes. In that context, I can see why the new direct debit instrument is better than the old direct debit instrument for the Consumer. Whereas, in UK, memory serves, I could go to bank website and cancel / modify the old direct debit mandates anytime. So VRP doesn't seem to provide any additional functionality for the Consumer / Payor. I suspect VRP has some additional value proposition for the Merchant / Biller that is not widely talked about.