Financial institutions generate a huge amount of data, particularly with the increasing use of digital payments. The data they collect can be used to make better predictions and more precise calculations. However, it's true that the data contains personally identifiable information. That is why regulations and laws such as GDPR in Europe and California Consumer Privacy Act in the United States limit how and financial institutions are able to share customer information.

Sharing financial data is beneficial for a variety of reasons, such as improved fraud detection and faster processing of applications. It can also allow you to gain access to a wider range of products and services, including loans and credit cards. If you decide to share your financial information it is crucial to do so with an authorized partner. Reputable companies, apps and financial service providers must be able to clearly define the reason behind your data sharing and the specific partners they will cooperate with in sharing your data.

The crucial element to unlocking the potential of financial data aggregation is creating an open and unified data ecosystem that enables different users to perform different operations with no unnecessary risks. The ability to secure access and process data in real time is critical, as is an understanding of the role each user plays. To achieve this, you need effective data access controls that ensure the right balance between security and utility, with a focus on allowing live financial information to be transferred between departments as well as between businesses while protecting the rights of customers.