Page 32 - BFSI CHRONICLE 10 th Issue (2nd Annual Issue ) 23062 COPY.indd

BFSI Chronicle, 2 nd Annual Issue, 10 th th Edition July 2022
BFSI Chronicle, 2 Annual Issue, 10 Edition July 2022
nd
ACCOUNT n recent years, technology-driven new
modes of financing, new financial
business models, specialized financial
AGGREGATORS: Iservices, and products are emerging
and driving FinTech innovation in areas
such as P2P lending, wealth management,
UNCHAINING microfinance, MSME lending etc. After
building the interoperable UPI platforms
that enabled online transactions for over a
FINANCIAL billion people, Indian banks and financial
institutions are set to enter their second act
in the digital finance play.
SERVICES On 2nd September 2021, 8 major banks

across the country, right from SBI and HDFC
to Axis and Federal, joined hands for the
second time (post-UPI) to initiate the launch
of India's new Account Aggregators.

This article discusses the concept of
Account Aggregators (AA), eligibility, role
& opportunities, and challenges.
Background
What is the first thing that comes to your
mind when you think of applying for a
loan? No!! not the cash but the arduous
task of submitting monetary and financial
records to persuade the lender about your
creditworthiness.
This tedious process of availing of a loan
is slowly becoming thing of the past. With
the focus on the “Digital landscape”, India
is taking a progressive step towards the
seamless flow of digital information. Banks
are rolling out a framework to give control
of information to users.
With an account aggregator system,
consumers will now have access to all their
financial data in one place and can share it
easily. This facility will resolve two major
Ms R Sumitra problems – 1. Borrower/ loan applicant can
Certified Credit Analyst

The Institute Of Cost Accountants Of India

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