What is Basiq?

Way Forward uses the Open Banking platform called Basiq to assist with developing an accurate and sustainable budget for our clients.

Basiq is a Consumer Data Right (CDR) accredited Application Programming Interface (API) platform that provides secure access to a variety of data customer-consented financial sources including Open Banking.

This page provides information about Basiq and Open Banking to explain more about what it is and why we use it.

Is it safe to allow Basiq to access to your banking information?

Yes, Basiq have been authorised by the Australia Competition and Consumer Commission (ACCC) to access this information with your consent. When you provide access to Basiq, they use secure Application Programming Interfaces (APIs) to retrieve your banking information from your financial institution.  

As with any third-party provider that requires access to your financial data, it’s important to consider the risks involved. However, Basiq takes multiple measures to ensure the security of your information, including:   

  • Encryption: Basiq uses encryption to protect your data in transit and at rest, ensuring that it cannot be intercepted or read by unauthorised parties.  
  • Authorisation: Basiq requires explicit authorisation from you to access your data. You can revoke this authorisation at any time.  
  • Security practices: Basiq follows industry best practices for security and regularly tests its systems for vulnerabilities. 
  • Compliance: Basiq is subject to regulatory requirements and standards, including the Australian Privacy Principles and the General Data Protection Regulation (GDPR), which require them to protect your personal information. 

It’s important to read and understand Basiq’s privacy policy and terms of use before providing access to your financial data.  

What is Opening Banking?

Open Banking was introduced in Australia in 2020, and it allows consumers to share their financial data with third-party providers through secure Application Programming Interfaces (APIs).  

Open Banking is a financial services term that refers to the practice of sharing financial information electronically, securely, and in a standardised format among different financial institutions or service providers. 

What is Consumer Rights Data?

Consumer Rights Data (CDR) refers to the information that outlines the rights and privileges that consumers are entitled to when interacting with businesses and service providers. These rights ensure that consumers receive fair treatment and protection from fraudulent or unethical practices.  

For more information, check out the Australian Government’s website about CDR.

Australia’s Consumer Data Right is being rolled out in stages. Banking is first, followed by energy and then non-bank lending. This means that data holders in these industries will have to comply with Consumer Data Right compliance requirements as the system rolls out. 

Is CDR and Open Banking the same?

Open Banking is part of the CDR initiative that relates to the banking industry. The CDR is envisaged to become an economy-wide system which will enable the safe and secure transfer of consumer data.  

In 2019 the Federal Government passed the Consumer Data Right (CDR) legislation which aims to give consumers greater access to and control over their data across the banking, energy and telecommunications sectors.  

Which companies in Australia are using Open Banking? 

Many financial institutions in Australia are participating in Open Banking, including the big four banks: Commonwealth Bank, ANZ, Westpac, and National Australia Bank.