What is Open Banking, and how does it work?

Open Banking was introduced in the UK in January 2018.

It’s designed to:

  • let you compare and apply for new products and services;
  • help you control how you manage, move and make more of your money;
  • give you a secure way to use financial products and services.

To use Open Banking, you’ll need to be registered for eBanking or District. If you aren’t yet registered, you can register for eBanking here. To register for District please call us on 0345 600 2882.

What's new in Open Banking?

Open Banking is evolving so that you have access to a wider variety of services. From 13 September 2019 you can now use Open Banking to make foreign payments.

Business Users can also make Bacs, CHAPS and file payments.

You can find out more about this in the faqs further down this page. Keep checking back for regular updates!

Good to know

  • What is a TPP?

    You’ll hear the abbreviation ‘TPP’ used a lot when we’re talking about Open Banking.

    Third party providers or TPPs are regulated companies that offer services through Open Banking.

    There are three types, those that:

    • show you a combined view of all your accounts with different banks or building societies in one place. They may also offer things like budgeting or accounting tools or product comparisons. These are known as Account Information Service Providers or AISPs.
    • can send online payments directly from your accounts on your behalf. These are known as Payment Initiation Service Providers or PISPs.
    • can issue you with a card that you can link to your payment account with us.

    You don’t have to use a TPP’s services if you don’t want to – your financial information belongs to you and it’s your choice how you use it.

  • Sharing your account information

    You can choose to share some or all of your account information with regulated TPPs that are enrolled in the Open Banking Directory.

    This information could be:

    • your account name, account number and balance;
    • details of your standing orders, direct debits or recurring and future dated payments;
    • details of your account transactions;
    • features and benefits, such as the type of account you have and fees you pay;
    • any contact details we hold, such as your address, telephone numbers and email address.

    You can stop sharing your information at any time using eBanking or District.

    TPPs are responsible (and accountable) for how they use your data and how they make payments on your behalf. They can only do this with your permission.

  • Making payments

    Open Banking lets you make a payment directly from your bank account, for example when you’re buying something through a third party app or website.

    • You can choose to pay straight from your bank account instead of providing your card details.
    • Only a regulated TPP enrolled in Open Banking can give you this option and you must give them your consent.
    • You’ll enter your online banking logon details on a secure Danske Bank webpage so that we can be sure it’s you.
    • After you confirm the payment details, the TPP will make the payment directly from your account.
  • Want to know more?

    You can find out more about Open Banking at www.openbanking.org.uk, or read some of our FAQs below.

You’re in control

Open Banking uses secure technology to share your account information and to make payments. There are legislation and industry standards that TPPs have to comply with to keep you protected.

  • Only you can decide whether to use the services of a TPP or not and what information to share.
  • If you choose to do this, we will only provide the TPP with the information you’ve agreed to share with them.
  • You can stop sharing your data with a TPP whenever you want using eBanking or District

faqs