IT Brief New Zealand logo
Technology news for New Zealand's largest enterprises
Story image

Fintech expert urges caution when it comes to online banking details

By Shannon Williams
Thu 7 Apr 2022

Consumers need to err on the side of caution and be aware of what information third-party businesses attain when doing online banking, according to fintech expert Jill Berry.

The digitalisation of banking has added convenience to consumers through methods such as online transfers, bill payments, faster loan approvals, and ease of sharing data, but what happens when you're asked to share your banking login details with a third-party company even one that is credible?

According to Berry, who is the CEO and co-founder of Adatree, there are several things people should look out for when doing banking online, and there are ways to protect data if people need to share their banking details. 

"Screen scraping is a little-known term whereby a third party extracts or scrapes a customers digital data for various services using their disclosed bank login credentials," Berry says. 

"Commonly used by personal budgeting apps, instant loan lenders or payments services, an organisation requests the user hand over their banking username and password, which they use to log in to access (scrape) required information and sometimes even more," she explains. 

"The benefit: to make it easier for consumers to manage, compare or switch banking products. But there are many downsides around what information these unethical data vendors can access and how often without you knowing."

Berry says most people are looking for ways to save time and effort, but when it comes to convenience around data sharing via screen scraping, consumers have less control, security and transparency when they hand over their banking logins.

"Once third parties have a customers details, the consumer does not know how and where the data will be stored, whether it will be sold or shared, with whom, and for what purpose everything remains unknown," she says. 

"It can also be accessed by this hidden data vendor or screen scraping service at any frequency without any restrictions. There is no expiration date for them to stop scraping the customers data nor can consent be withdrawn. The only upside is convenience customers simply provide their login details."

Financial institutions have used screen scraping since the 1980s to expedite the digital process, rather than manually sharing, entering and analysing data. 

"Fast forward to 2019, the Federal Government created a legislation called the Consumer Data Right (CDR), known as Open Banking in the financial sector, which gives control back to consumers," says Berry. 

"Consumers choose what data they want to share and for how long. To cease sharing their data at any point, they can simply withdraw consent and ask the business to delete their data."

Top tips for consumers to protect themselves if they are asked to share their banking login details with third parties:

Consider opting for the manual method. Sharing your banking login might reduce a little life admin, but at what cost? Is it really worth an unidentified data vendor holding or worse selling your data? 

Until CDR becomes commonplace, Berry recommends manually downloading your statements from your online banking and sending them to the third-party company. 

"While it can take a bit longer and be a tedious process, you will have peace of mind knowing that your data remains secure in the hands of those you chose to share it with," she says.
 
Change your password as soon as possible.

"In instances where online or paper statements are insufficient and your banking username and password must be provided, change your password as soon as the third party has accessed the required data," Berry says. 

"This will disable them from logging back into your account to access your banking data down the track, without your knowledge and express consent."
 
Research the company you're sharing your data with. 

"Some banking services who aren't yet part of the Consumer Data Right require screen scraping to validate a loan application or for other services," Berry says. 

"If there is no alternative method, do your research around the company you need to share your data with. In particular, you want to look for whether they do ethical data sharing, which gives you more control and transparency," she says.

"If you find they do not have ethical data practices, it might be wise to consider an alternative provider who has better ethics."
 
Find out whether the lender or service provider will be using CDR in the future. 

"While screen scraping relinquishes your control and ability to consent to uses of your own data, CDR does the opposite it gives power back to you, the consumer," says Berry.

"If screen scraping remains the preferred method of the lender or service provider you're using, ask whether they will implement CDR in the future which puts your interests and privacy first. No passwords need to be shared, consent can be granted and revoked at any time, and your data remains in your control."

Related stories
Top stories
Story image
Tech job moves
Tech job moves - Bitdefender, Cohesity, Fortinet & MODIFI
We round up all job appointments from June 27-30, 2022, in one place to keep you updated with the latest from across the tech industries.
Story image
Digital
Ivanti puts spotlight on power of employee digital experiences
The report revealed that 49% of employees are frustrated by the tech and tools their organisation provides and 64% believe this impacts morale.
Story image
Artificial Intelligence
Juniper study reveals top AI trends in APAC region
Juniper's research shows an increase in enterprise artificial intelligence adoption over the last 12 months is yielding tangible benefits to organisations.
Story image
Infrastructure
New VMware offerings improve cloud infrastructure management
VMware has unveiled VMware vSphere+ and VMware vSAN+ to help organisations bring benefits of the cloud to existing on-prem infrastructure.
Story image
Internet of Things
ManageEngine wins big in IDC MarketScape assessment
ManageEngine's Endpoint Central service has been recognised as a leader by IDC MarketScape in several categories including Internet of Things device deployments and UEM software for SMEs.
Story image
Hybrid Cloud
HPE GreenLake advances hybrid cloud experience with new services
"The innovations unveiled today further build on our vision to provide the market with an unmatched platform to spur innovation and drive transformation.”
Story image
MarTech
Martech experts reveal the “buzz” on personalisation
In the digital age, innovative technology must be leveraged to power an efficient and effective relationship marketing strategy.
Story image
Mergers and Acquisitions
SAS acquires Kamakura to propel risk technology innovation
Underscoring SAS growth in the domain-specific solutions space, the acquisition will enable SAS to greatly enhance the breadth of its risk solutions portfolio. 
Story image
Research
New study reveals 51% of employees using unauthorised apps
The research shows that 92% of employees and managers in large enterprises want full control over applications, but they don't have it.
Story image
Digital Transformation
What CISOs think about cyber security, visibility and cloud
Seeking to uncover the minds of CISOs and CIOs across Asia Pacific, my company recently asked Frost & Sullivan to take a snapshot of cloud adoption behaviour in the region.
Story image
Web Development
Whitecliffe fosters careers for the future of tech
Do you want a career in Information Technology, Networking, Web Development, Software Development, or are you looking to upskill?
Story image
API
Industry-first comprehensive risk-based API security enhances protection
Application Programming Interfaces (APIs) have become a crucial part of operating web and mobile application businesses and are causing significant economic growth in the digital sector.
Story image
Financial results
Margins & revenues up at New Zealand arm of Acer Computer
We look at the local financial statements of Taiwanese manufacturer Acer Computer Inc.
Story image
Robotics
Evonik relies on Getac F110 tablet to control autonomous robot
The aim of the project is to evaluate the practicality of an automated robotic maintenance and inspection solution in the chemical industry.
Story image
Microsoft
Digital innovation could shape the future of NZ - Microsoft
With cloud technologies available to more people around the world than ever before, it is not only businesses who will benefit from using them.
Story image
Artificial Intelligence
Accenture shares the benefits of supply chain visibility
It's clear that gaining better visibility into the supply chain will help organisations avoid excess costs, inefficiencies, and complexity to ultimately improve their bottom line.
Story image
Samsung
Monitors are an excellent incentive for getting employees back
The pandemic has taught us that hybrid working is a lot easier than we would’ve thought, so how can the office be made to feel as comfortable as home? The answer could be staring you in the face right now.
Story image
Cryptocurrency
NOWPayments launches new service to analyse cryptocurrency fees
NOWPayments has launched a new network fee optimisation solution that analyses current network fees and picks the most profitable option out of the client's payout wallets.
Story image
Metaverse
How the metaverse will change the future of the supply chain
The metaverse is set to significantly change the way we live and work, so what problems can it solve in supply chain management?
Story image
Identity and Access Management
Ping Identity named a Leader in Access Management
Ping Identity has been named a leader in the 2022 KuppingerCole Leadership Compass report for Access Management. 
Story image
Revenue
Datacom announces revenue of $1.45 billion, fall in profit
Growing market pressures and border closures saw Datacom place increased focus on talent development initiatives for both existing and future employees.
Story image
eCommerce
Robust digital warehouse management crucial in Asia-Pacific
Thanks to a network of “cloud” stores, grocery and food delivery providers such as Foodpanda can arrange for these commonly requested items to get packed up and sent over in almost no time.
Story image
Infrastructure
Oracle Cloud Infrastructure expands distributed cloud services
“Distributed cloud is the next evolution of cloud computing, and provides customers with more flexibility and control in how they deploy cloud resources."
Story image
Electrical
Up to $2.4 million shortfall in the collapse of IndeServe
We delve into the liquidators first report on long-standing networking service provider IndeServes collapse.
Story image
Cybersecurity
FIDO Alliance releases guidelines for optimising UX with FIDO Security Keys
The new guidelines aim to accelerate multi-factor authentication deployment and adoption with FIDO security keys.
Story image
Great Resignation
New SAP study uncovers impact of 'the great resignation'
Coined in 2021, the phrase 'the great resignation' refers to millions of employees globally leaving their jobs. The phenomenon is real and impacting SMEs.
Story image
Microsoft
ASI Solutions named finalist of Microsoft Surface Partner of the Year
"ASI Solutions has a strong Microsoft focus, building value by helping customers maximise investment in modern workplace solutions."
Story image
Cybersecurity
Video: 10 Minute IT Jams - An update from CrowdStrike
Scott Jarkoff joins us today to discuss current trends in the cyber threat landscape, and the reporting work CrowdStrike is doing to prevent further cyber harm.
Story image
Citrix
The best ways to attract young talent during labour shortages
New research from Citrix reveals hybrid working and ventures into the metaverse are top of mind for Gen Z workers.
Story image
Awards
Microsoft names A/NZ Partner of the Year award winners
The awards recognise partners across the globe for their innovative use of Microsoft technologies to help customers succeed.
Story image
BitTitan
How to achieve your monthly recurring revenue goals
Monthly recurring revenue (MRR) is the ultimate goal, the most important issue on which anyone in the IT channel should focus.
Story image
Airwallex
How Airwallex helps businesses achieve globalisation success
As markets continue to shift, businesses need to be able to provide the same quality of service for customers regardless of where they are located around the world.
Story image
Cloud Security
Palo Alto Networks bolsters cloud native security offerings
Latest Prisma Cloud platform updates help organisations continuously monitor and secure web applications with maximum flexibility.
Story image
Hybrid workforce
Why hybrid working is here to stay and how to ace it
Citrix's new report reveals hybrid workers are more productive and engaged at work than their office and completely remote counterparts.
Story image
Cloudian
Cloudian, Vertica to deliver on-premise data warehouse platform
"We’re enabling our customers to capitalise on a leading object storage platform and maximise the value of their digital assets.”
Story image
Entelar
How TruSens air purifiers can create healthier workspaces
The pandemic has heightened our awareness of our own and others’ health, and made us all much more conscious of the environments we work in.
Story image
Voice recognition
Renesas and Cyberon expand services with voice recognition
“We are honoured to collaborate with Renesas to simplify the development of embedded voice recognition functions."
Story image
Oracle Cloud
Commvault, Oracle to deliver Metallic Data Management as a Service
"We are excited to partner with Commvault and enable our customers to restore and recover their most mission-critical cloud data."
Story image
Sustainability
Vertiv releases updates on ESG initiatives, sets sights on future
Vertiv has released its inaugural environmental, social and governance (ESG) report, the company’s first public report of its ESG activities.
Story image
Dark web
Cybercrime in Aotearoa: How does New Zealand law define it?
‘Cybercrime’ is a term we hear all the time, but what exactly is it, and how does New Zealand define it in legal terms?
Story image
Public Cloud
Public cloud services revenues top $400 billion in 2021
"For the next several years, leading cloud providers will play a critical role in helping enterprises navigate the current storms of disruption."
Story image
Cybersecurity
Zero trust security adoption rises 27% in just two years
A survey of WAN managers has revealed that multi-factor authentication and single sign-on are the top zero trust features implemented.
Story image
Cybersecurity
Why is NZ lagging behind the world in cybersecurity?
A recent report by TUANZ has revealed that we are ranked 56th in the world when it comes to cybersecurity - a look into why we're so behind and what needs to be done.
Story image
Compliance
Stock security features inadequate in face of rising risk
"Organisations must proactively find ways of identifying unseen vulnerabilities and should take a diligent, holistic approach to cybersecurity."