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52% of Americans have never heard of the term “open banking,” and only about half of those actually know what open banking is, according to a new report by Axway.

While many in the financial services world know what open banking illustrates and what services it can provide, many others have yet to connect the dots to what a truly open financial ecosystem represents.

At its core, open banking is about letting people control their money. The survey shows that it is a principle people overwhelmingly support: 84% of Americans agree they should have control of their financial data, and banks should not prevent the movement of money between other financial services.

“Axway’s research paints a fascinating picture. Although insiders have been contemplating Open Banking for years, most Americans still have no idea what the term means. But most agree with its general principles once explained to them — indicating both a solid opportunity and a need for education,” said Glen Sarvady, managing principal at 154 Advisors and co-host of fintech podcast BIGCast.

People do still trust and need their banks, as 81% said they feel their banks offer all the financial services they need in their daily life. Yet, 40% of the same people use at least one finance or budgeting app other than their bank’s mobile app, as they’re drawn to new FinTechs offering innovative tools they really want to use.

The takeaways from Axway, a global API Management company that analyzed new data from 1,000 U.S. consumers regarding their most recent banking experiences, confirm that there is an interesting contradiction in our knowledge around open banking and financial services.

Read the full report by Axway.

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