US Open Banking Rule Stalls as Banks Advance API Data Sharing on Their Own

The US Consumer Financial Protection Bureau's open banking rule is intended to require banks, with consumers' authorization, to provide account and transaction data to third parties through standardized interfaces, lowering barriers to switching financial services. The framework is central to fintech competition, data portability rights and personal-data security. It is also an important part of US efforts to catch up with markets such as the UK.

The rule was scheduled to take effect in April 2026, but related litigation prompted a federal judge to halt its implementation, leaving the compliance timetable and technical standards uncertain. Even without clear regulatory guidance, major banks continue to pursue API partnerships and financial-data sharing with fintech companies to meet customer demand for connected wealth-management, payment and lending services.