Bud is a web and mobile-based app that lets users manage all their finances from a single interface
The service also allows users to connect their banking and credit card data to Bud, which uses machine learning algorithms to analyse their transaction history and suggest financial products in areas where they may be underserved.
"If someone has a Virgin Atlantic transaction over £500 but they also don't pay for any insurance products, it's likely they don't have travel insurance. We can suggest products that might be relevant for them," says Jamie Campbell, Bud's Head of awareness.
"Because we have an automated understanding of an individual's context, we know all their parameters, ie, what they can and can't afford, which means we can provide really personalised assistance – something like an automated concierge service for financial products.
"But to power something like that you need to bring together all their data because it has to start with understanding the customer better than ever before."
The arrival of open banking will allow Bud to change the way it collects personal financial data from its users, from the current practice of screen scraping to seamless integration via APIs.
Bud is involved in trials with three major UK banks to integrate market+, its fintech marketplace, into their banking apps on a white‑label basis. This effectively puts the bank at the centre of a much wider ecosystem of niche fintech providers.
The intention is to give fintechs access to huge distribution, while giving banks access to the flexibility and agility that fintechs can deliver, says Jamie. The banks will gain access to data from customers that transact through the market via their app, proving their creditworthiness and providing profiling data.
"We're focused on making sure that these end‑to‑end experiences with third parties, and the rich data relay, is engaging enough to keep customers coming back to the banking app and not Facebook for instance," he says.
"By bringing together the customer's data and aggregating all these services in one place, we will be able to give them an end‑to‑end experience unlike anything they've had before in the financial space. That's what banks see as the big potential in aggregation."
of customer interactions with a business will be managed without human interaction by 2020