Open Banking should inject BRL 94 billion in credit to individuals in 5 years, says Serasa

The sharing of customers’ bank data, through consent, between financial institutions, the so-called Open Banking, can generate the equivalent of R$ 94 billion in credit lines for individuals in five years.

The estimate is from the Research Impacts of Open Banking on the Credit Market carried out by Serasa Experian.

The specialists analyzed the possibility of inserting new consumers (Individuals) in the credit market, taking into account the data shared via Open Banking and information present in the positive register (list of people with current financial commitments).

The survey also shows that the real estate financing sector may benefit the most, with R$ 30.4 billion more in the five-year period.

According to Leonardo Enrique, head of Open Banking at Serasa Experian, “the dream of a large part of the Brazilian population is to conquer their own home.”

In 2021, financial institutions made available R$ 815.2 billion in credit lines for the purchase of real estate.

With Open Banking, the increase could be 3.7% for the real estate market in a period of five years, says the expert.

According to him, Open Banking data, transformed into accurate analysis, increase the probability of consumers having access to real estate credit, in addition to benefiting them with a faster and less bureaucratic analysis.

More credit to individuals increases purchasing power, directly impacting the country’s economic growth.

According to Serasa Experian, in addition to the real estate sector, the segments that should register the greatest impact on the volume of credit, until 2026, are payroll-deductible loans (R$ 18.1 billion extra), rural credit (R$ 12.3 billion) and credit card (R$ 11.9 billion).

Open Banking, or open financial system, is the possibility for customers of financial products and services to allow the sharing of their information between different institutions authorized by the Central Bank, with the movement of bank accounts from different platforms, not only through the application or bank website, such as Cadastro Positivo.

With the permission of each account holder, institutions connect directly to the platforms of other participating institutions and access the financial history of customers.

With access to user data, they can offer products and services such as loans, for example, to their competitors’ customers, with lower rates and more advantageous conditions.

“The success of the initiative in the country depends on the institutions being able to offer a clear value proposition to the consumer, in order to make him understand the benefits of joining”, points out Enrique.

Economist Ricardo Macedo explains that the modality allows financial institutions to better determine the profile of the customer, such as average income, age group, in addition to greater transparency in the process of intermediation of lines of credit.

“Whoever opts for Open Banking will be able to speed up and increase the volume of credit. Because it will be associated with your ability to pay. For financial institutions, the advantage is precisely this: they reduce risk and, as a result, they can offer credit in a greater volume at a lower rate. The injection of this credit will take place during this period”, declared Macedo.

Due to the possibility of more supply of credit lines, economist Ricardo Macedo emphasizes the need for consumers to be considered to avoid increasing indebtedness.

“Consumers must have a financial education so that they are not led by stimuli to non-conscious consumption. Consumers will find it easier to obtain a loan, with lower interest rates. On the other hand, he needs to be aware of what he can face in order not to become a trap”, he warned.

According to the Central Bank, the entire process of data sharing between institutions is done in a secure environment and the person can cancel the permission whenever he wants.