Temenos Regulatory Compliance

Revised Payment Service Directive (PSD2)

Temenos allows banks around the globe to engage in Open Banking.

The concept of Open Banking has been accelerated by the European-led Payments Services Directive (PSD2) which enables regulated Third Party Providers (TPPs) access to customer’s bank accounts via secure APIs. While PSD2 is a European directive, it has implications beyond Europe on global Open Banking requirements and it’s impact is being replicated globally within other international law.

This increasing scope and competition that open banking enables in the banking ecosystem has led to both new opportunities and new challenges for financial institutions.

What is the Impact of PSD2 in Banking?

Open Banking is as much about the establishment of an improved IT architecture as it is about structural change across the banking industry. PSD2 in Europe has become a catalyst causing the reassessment of the industry’s perception, understanding and willingness to embrace Open Banking.

Leveraging APIs and ISO20022 in Payments

How Should You Respond to Open Banking?

Banks are likely to respond to the directive by not merely complying with local regulations, but by exploiting any local directive to create new business models aimed at creating new and deeper relationships with customers and generating new revenue streams. Temenos provides support for both aspects.

How Does Temenos Help?

Temenos provides a bilateral offering to Open Banking; supporting banks to take advantage of new opportunities and help to overcome regulatory obstacles.

Digital disruption: more than an opportunity for banks in West Africa

Seizing the Opportunity

With Temenos’ offering, your bank can utilize a framework allowing you to be a Third Party Provider providing Account Aggregation and Payment Initiation capabilities.

This allows your customers to hold, manage, and maintain their external bank accounts simply and easily all in one place – your bank.

Addressing the Challenges

Our solution assists with Account Information and Payment Initiation requests from regulated TPPs. Our out-of-the-box APIs support the Berlin Group standard (an API implementation guideline used widely across the EU) allowing AISP and PISP requests from third-party providers to be fulfilled in a secure and consistent manner.

Using our consent management toolkit, you will be able to give your customers full control of the data they share and the accounts they provide external access to.


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