Fintech Regulation: Changes in Banks Following Synapse Debacle
Tuesday, 17 September 2024, 14:29
Fintech Regulation: New Rules for Banks
Recent developments in fintech regulation are reshaping how banks handle customer data. As part of a new investment strategy, financial institutions must now maintain comprehensive records for accounts opened by fintech firms. This regulation, set in motion after the Synapse debacle, aims to enhance accountability in the banking sector.
Key Aspects of the New Regulation
- Customer Ownership: Banks are now mandated to document who owns each account linked to fintech services.
- Daily Balances: Institutions must also track and report daily balances for these accounts.
- Increased Transparency: There is a push for greater transparency between banks and their fintech partners.
This breaking news: investing regulation aims to bolster consumer confidence and prevent future mishaps.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.