Apple has quietly rolled out an innovative iPhone Wallet feature in beta exclusively for UK users, offering a convenient and comprehensive view of their current account finances. This feature, powered by the UK’s Open Banking API, is part of Apple’s ongoing efforts to enhance its financial services offerings and follows the recent acquisition of Credit Kudos, a company specializing in Open Banking-based financial insights.
The new Wallet feature, introduced in the iOS 17.1 developer beta, empowers users to access their account balances, along with a detailed overview of recent deposits and payments. Notably, it also provides users with up-to-date account balances following transactions made using Apple Pay. To utilize this feature, users must first grant authorization through the Wallet app and subsequently undergo authentication via their respective bank’s app or website. It’s essential to note that all banking data remains strictly stored on users’ devices, with no data residing on Apple’s servers.
In this beta launch, several prominent banks are already supported, including Barclays, HSBC, Lloyds, RBS, Monzo, and Starling. This introduction marks a rare instance where Apple debuts a feature outside the United States, particularly in the UK, where it has been relatively less prominent compared to its presence in the US market. For instance, Apple’s proprietary Apple Card has yet to make its debut in the UK.
Apple’s strategic acquisition of Credit Kudos reinforces its deepening involvement in the Open Banking ecosystem. Credit Kudos specializes in leveraging Open Banking data to provide users with insights into their financial health and creditworthiness. It taps into the UK’s open banking platform to analyze bank account data, facilitating faster and more informed decisions for individuals seeking loans or other financial services.
Open Banking, a regulatory framework unique to the UK, mandates the country’s nine major banks to release their data securely and in a standardized format. While such a system does not currently exist in the US, efforts are underway to develop a similar framework. In the European context, a parallel system called PSD2 was introduced in 2020. Apple’s successful implementation of this Wallet feature in the UK could potentially pave the way for its expansion into other European markets, where it already dominates smartphone-based payment systems through Apple Wallet.
