What is Open Banking?

Open Banking can let you see all of your accounts, wherever you bank together in one place. And, it allows you to securely share information with third parties, who can then provide you with a range of services to make payments easier, and give you budgeting tools to help you better manage your money.

There are two main ways Open Banking can help you:

1. Account information sharing: by sharing your information securely with a third party app, you could connect your accounts and view all of your balances and transactions in a single place. Plus, you could use product comparison sites to check if there’s a more suitable account for your lifestyle.

2. Making payments: you'll be able to send money directly from your HSBC account through third parties in just a few steps, to make payments simpler.

How a third party would access your accounts

Third parties will need your consent to access your HSBC payment accounts. It’s important you understand the services they’re providing and how they’ll use your data.

There are two ways that a third party would access your account for information sharing:

1. Application Programming Interface (API) based access

The third party will ask you to provide your consent and you’ll be securely redirected to HSBC's authentication process. This will be similar to the way you log on to online banking. If you’re using our Mobile Banking app you’ll simply be able to use your face or touch ID to authenticate it, where available.

If you’re having trouble authenticating, make sure you follow the on-screen instructions on how to generate the security code.

Once authenticated you can select the accounts you want to share. The third party will ask you to provide your consent to them accessing your account data either as a one-off, or for a period of time for example, two years. Depending on the duration of the consent you provide to the third party, you may need to refresh their access every 90 days through our online authentication process.

2. Screen scraping access

Before a third party can access your account, they’ll need to identify themselves to HSBC and we’ll check that they have permission to access your account. Third parties may then access your accounts by logging on using your online banking security credentials.

They’ll need to request this information from you each time, which they’ll share with us. The third party will be able to access information in a similar way to when you use online banking. This is commonly known as screen scraping.

You should be aware that they’ll have access to all the information you see online in relation to your accounts.  This includes the account summary, payee information and balance data. All third parties that access your information must comply with data protection laws and must be registered or authorised with the Financial Conduct Authority (FCA).

If you’re concerned about the data you’ve shared and feel it may have been used incorrectly, get in touch with the organisation or the third party provider as soon as possible.

How to make payments with Open Banking

API-based payments

You’ll be asked to provide consent to the third party before being redirected to HSBC for authentication, much like account information sharing. Third parties can ask you for the sort code and account number of where the payment will come from, or you can select those details after the authentication process and confirm the payment to be made.

When the process is complete we’ll send the requested information to the third party or make the payment.

Screen scraping payments

Third parties will ask you to input your online banking security credentials into their website or application. Using this information, the third party will be able to initiate payments in a similar way, as if you were logged into online banking directly.

How card-based payment instruments work

A new payment method known as card-based payment instrument issuer has been introduced, which allows a third party to issue you with a card which you can link to the payment account(s) of your choice. 

You can make payments with that card and the third party will ask us for confirmation that you have the available funds in your account.

We’ll only respond with a yes or no answer. If the third party wants to access the funds in your accounts, they’ll need to make separate arrangements with you.

If you experience a problem with your third party issued card, get in touch directly with the organisation or third party provider who issued the card.

Need more information?

Visit the Open Banking website for more information.

If you have a technical problem with making payments, or if you believe a third party has accessed information through screen scraping which they shouldn’t have, let us know on:

03457 404 404

Lines are open from 8am to 10pm every day (except for Christmas Day, Boxing Day and New Year's Day) and we'll do everything we can to sort it out straight away.

Alternatively, if you’re not happy with any of our services visit our complaints and feedback page.

Frequently asked questions