Open Banking
What you need to know

The Consumer Data Right (CDR) is a data policy initiative of the Australian Government, giving consumers greater control over their personal data and the right to securely share their data with trusted third-party organisations. The CDR is currently active in banking, and planned to be rolled out across other sectors, such as energy and telecommunications.

In financial services, customer and transaction data was traditionally held by organisations, such as banks. Under the CDR, this data can be shared with third-party providers to drive competition in the market and enable customers to better products and services.

The ACCC officially defines the various CDR access models as the following:

Sponsored Affiliate – Businesses who become a Sponsored Affiliate have accredited access to data via an ADR acting as a Sponsor. This model allows Sponsored Affiliates some of the same privileges and access to CDR data as an ADR, but at a lower cost and in less time.

Principal and Representative – The Principal and Representative Model is an accelerated way businesses can access Open Banking data. There is no official accreditation needed, instead a business is able to access data as a Representative via an ADR that acts as a Principal. 

Trusted Advisor – This model allows consumer consented data to be shared with ‘trusted advisors’, including financial advisers, mortgage brokers, accountants, tax agents and/or lawyers.

CDR Insights – CDR rules allow consumers to share insights with individuals or organisations outside the CDR ecosystem for specific low-risk purposes, including verifying a consumer’s identity, account balance, or details of transactions to or from specified accounts.

Learn more about the CDR access models here