Automating Your Regulatory Obligations

Data Privacy & Open Banking

The Consumer Data Right for Open Banking is one of the latest regulations to go live as of 1 July 2020 (see Deloitte’s Open Bank Roadmap below).

In contrast to some compliance topics, this one is of particular interest, as it enables new products and services using consumers banking data where consent is obtained from the consumer. It puts consumers in control of their data rather than the banks that have in the past kept other service providers at bay by monopolising the data. There’s a wave of new FinTech and RegTech businesses jumping at the opportunity this regulation offers. But it’s not smooth sailing for either new and the existing businesses looking to take advantage of it. There is a raft of privacy and security requirements to comply with.  There are onerous, complex and wordy regulations that those businesses need to understand and comply with. The “black and white” language of regulation is intended for clarity and precision, but doesn’t provide much assistance when it comes to applying it in practice. The associated guidelines, FAQ’s and forums help address that, but that can lead to a decentralised mess of information.

Source: Deloitte: Data Privacy – Navigating Compliance Requirements: Open Banking

At a glance, businesses operating in this space  need privacy practices and controls that support consumers data rights. They need to meet a schedule of minimum information security requirements, ideally with an assurance report signed off by an independent audit firm.  That sounds pretty simple, until you get into the detail of those requirements and how it needs to first follow a scoping assessment to map out the CDR Data Environment.

Expert automation can help businesses and auditors alike to navigate these complex and onerous requirements.  Digitising and automating the requirements of the CDR helps businesses navigate what’s relevant to them and how it can be applied in their context. Automation of CDR by experts can also provide clarity and significant efficiencies to independent consultants and auditors. It also helps to streamline the assessment and audit process to achieve higher audit quality and confidence in any assurance report/certification.

For more information, watch our on-demand webinar: “The Automation of Regulatory Obligations” here.

At Checkbox, we work with leading enterprises, professional service providers, regulators and other experts to create expert process automation solutions in the data privacy space, including Open Banking. The Checkbox platform allows subject matter experts to rapidly prototype, build and deploy software in the cloud to conquer various compliance challenges. Our customers can on-sell software to their customers, use it to provide integrated and higher quality services, or to improve the quality of their own internal operating practices. In contrast to some compliance topics, this one is of particular interest, as it enables new products and services using consumers banking data where consent is obtained from the consumer.