Newcastle bank Greater is migrating from its legacy systems to a cloud based core banking platform in preparation for Australia’s upcoming Open Banking regime, according to Data Action, the partner responsible for the move.
Data Action, which claims a 100 per cent success rate at transitioning over 80 banking customers from legacy platforms to cloud based core banking solution, says the migration to a cloud banking platform means Greater Bank will be prepared for the data portability scheme and able to develop new offerings to consumers.
“Open banking presents a golden opportunity for challengers by making it easier for customers to switch banks and take advantage of their better products and lower rates,” said Data Action chief executive officer Nicola Burgess.
“Our solutions are tested in the Australian market, are compatible with the requirements of open banking and so will help Greater Bank strengthen its position as a leading challenger to the major banks.”
Open Banking, a regulator-led scheme which mandates banks share customers’ data, at their request, via APIs, is currently being trialled through a pilot program involving Australia’s big four banks. In February 2020, if the regulator is confident, the scheme will begin in full and be extended to all Australian banks.
Greater Bank has over 260,000 Australian customers and controls more than $7 billion in assets, but remains a “challenger” to the major banks, according to Data Action. But Open Banking could help notoriously sticky Australian banking customers switch away from the big four to smaller banks like the Greater.
“We are really pleased to have signed up such a significant player in the mutual space, it’s a major endorsement of our credentials as a leading provider of modern and innovative digital and core banking solutions,” Burgess said.
“And having already successfully transitioned more than 80 customers from their legacy platforms to the DA Core Banking solution, we are fully confident that will be able to deliver a seamless migration for Greater Bank that will position them for the future.”
Greater Bank confirmed the partnership but declined to comment.