Identity is Transforming Financial Services
Digitalisation is changing the financial services world at an unprecedented rate.
This change is being driven from top down regulations and directives such as the EU’s General Data Protection Regulation (GDPR), the UK’s Open Banking regulation, the EU’s revised Payment Service Directive (PSD2) and the EU’s 4th Anti-Money Laundering Directive (4AMLD).
It also being influenced by the age of the customer, and a shift in the balance from organisational to consumer power. Increasingly consumers are demanding a better customer experience with financial services institutions. They can flex their muscles and shift to a competitor or a new digital challenger if they don’t receive the service they are expecting.
With these challenges, comes opportunity and the role of the “traditional bank” and its relationship with customers. This relationship is going through an evolution. Banks and financial institutions now have a potential role to play helping everyone that inhabits the digital world to harness its power to enrich their lives. As banks respond to digitalisation, they have an opportunity to establish new relationships with customers, generating innovative new services.
Identity is one such service. Across the globe, we see financial services institutions such as Barclays and Capital One developing services in the world of identity. These services are seen as new business lines for the bank, as opposed to just the cost of doing business through mandated know your customer (KYC) regulation.
Standards that have been developed in the identity world are now finding their way into the heart of pivotal use cases such as OpenID Connect in Open Banking in the UK, working as an enabler for what was seen initially as difficult legislation to implement.
At CIS, we will be exploring the impact that identity is having on the financial services sector, both at a business and technology level. We will be discussing some of the new services, and looking at the challenges which are still to be overcome and discuss how this might be achieved.
We have speakers from HSBC, Capital One, Securekey and American Banker who are going to share their views on why they think identity is now a key part of financial services and why identity is set to transform this industry forever.
Looking forward to seeing you there.
By Emma Lindley
CEO & Founder at Innovate Identity