Question : Which Bank becomes the first bank to go live as a FIP under RBI’s AA Framework ?
(a) IndusInd Bank
(b) HDFC Bank
(c) ICICI Bank
(d) Axis Bank
Answer : (a)
Related facts
- IndusInd Bank has recently(October 2020) become the country’s first bank to go live as a FIP under RBI’s AA Framework.
AA (Account Aggregator) framework
- AA (Account Aggregator) framework is related to open banking.
AA Framework provides many special services to customers on a single window. - These special services are — viewing statements of customers accounts, track deposits, plan investments (such as shares, mutual funds, Insurance, EPF, PPF), avail credit cards, etc.
- Customers availing these services include individuals as well as small and medium-sized businesses.
Account Aggregator Ecosystem
- Under this ecosystem Indusind bank turned into a FIP.
FIP stands for — Financial Information Provider. - As an ‘FIP’, IndusInd Bank will facilitate customers to share their financial information with Financial Information Users (FIUs).
- This will be done in a safe and comfortable manner.
- Once the other financial institutions go live on the AA framework, it will eliminate the need for collecting/submitting physical documents for getting loans or accessing other financial products and services.
By — Pankaj Pandey.