How will RBI’s Account Aggregator Smoothen Your Finances Management? 

The account aggregator services by RBI (Reserve Bank of India) framework went live on September 2, 2021. This has claimed a transformative impact on the financial ecosystem, and financial institutions are a buzz with the hype about the revolutionary introduction of account aggregators. In this post, we are going to explain what is account aggregator by RBI and how it works.   

What are Account Aggregators?  

The account aggregator is an RBI-regulated non-banking finance company that facilitates financial data and makes it more accessible. It collects and shares the user’s financial information from Financial Information Providers (FIPs) to Financial Information Users (FIU) after obtaining the consent of the user.   

For instance, if the consumer wants to apply for a loan, the lender, I.e., FIU, will need access to all the financial statements of the user in order to pass the loan. This information will reside in the user’s bank, i.e., FIP. So, here is how the account aggregators will facilitate the flow of information: –  

• The FIU will request the account aggregator RBI to share the desired financial information.   

• The account aggregator will request the user for consent to share the financial information with the FIU. The aggregator will interact with the customer using the secured and encrypted mobile-based app or a web-based.   

• If the user gives consent, then the account aggregator will request the FIP to share the financial information.   

• Now, the FIP will transfer the information to the account aggregator in an encrypted format, which will then transfer to FIU.

Many financial entities are joining the account aggregator RBI framework and believe that it would be a big step towards a connected financial ecosystem. This framework will provide a secure and efficient way of sharing and accessing financial data for the induvial and the financial institutions as well. In this way, it will help in reducing transaction costs and financial fraud while giving preference to the consent of the user.   

Are you wondering how the account aggregator RBI framework will work for your case? Then, get in touch with Anumati. It is a reliable consent manager offered by the Perfios Account Aggregation Services (P) Ltd under the RBI license. We offer a simple and single interface to link all your bank accounts. Even an induvial or financial institution can decide with whom to share their financial information and can keep an eye on their wealth management. Furthermore, you can modify, renew or revoke the consent as well. To know more exciting features of our app, download it now!