Council agrees to make financial data more accessible to consumers
On 4 December 2024, the Council of the European Union reached an agreement on a proposed framework for Access to Financial Data (FiDA). This new framework aims to improve access to customer data between financial institutions, strengthening the competitiveness of the financial sector and giving consumers access to more personalised financial services.
The new rules promote data sharing between financial institutions, leading to more efficient and customer-centric services.
Examples of this are:
The proposal aims to create a more transparent and competitive financial ecosystem, in particular for the benefit of individuals and small to medium-sized enterprises.
To adequately protect customers, the new framework guarantees that they retain control over their data. In addition, European Supervisory Authorities will be empowered to draw up guidelines against unfair treatment or exclusion risks.
The Council largely supports the European Commission's original proposal. Important aspects of the agreement are:
With this agreement, the Council is ready to negotiate with the European Parliament on the final legislation. Following an agreement, both institutions must formally adopt the legislation before it enters into force.
The FIDA framework is part of broader efforts to digitise the financial sector and adapt it to the opportunities and risks of digital transformation. This is in line with previous initiatives, such as the revised Payment Services Directive.
Source: Council of the European Union, Press release (4 December 2024).
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