Open banking API integration helps companies make use of permitted banking data through compatible applications and services. DHRP guides businesses in understanding banking integration options, including its Dynamics 365 Banking Connector for accessing banking data, generating bank statements and supporting banking processes in Dynamics 365 Finance. The connector does not work with Australia's CDR regulations and only supports Plaid's banking connectivity APIs.
Open Banking - DHRP
Open Banking API integration is the process of APIs being used to request and share authorised financial data between software applications. The Consumer Data Right (CDR) regulates certain categories of data sharing between ‘eligible data recipients’ and the ‘data entity’. Not all banking API integrations are based on this approach.
Financial reporting, transaction analysis and accounting workflows are examples of applications that can utilise banking data access APIs. The information available depends on the bank, API provider, permissions and application. These are the factors that companies need to consider when choosing an integration for their financial systems.
DHRP's current Banking Connector does not rely on the CDR framework in Australia, but on Plaid for banking connectivity. The institutions that it supports, and the data it provides, should be reviewed by businesses before deciding if it meets the Australian banking needs of the business.
For businesses leveraging Microsoft Dynamics 365 Finance, the ability to easily access banking data and apply it to their business finance workflows could be a necessity.
The connector is designed to work with Dynamics 365 Finance and Operations in the cloud and on-premises. It requires a Dynamics 365 Finance licence, the Cash and Bank Management module and custom security roles. Currently, the following applications are not supported: Dynamics 365 Business Central.
The connector's .NET middleware is not running in Azure at this time, but is currently deployed on DHRP's on-premises development virtual machine. Data related to accounts and accounts' transactions are stored in encrypted format in SQL Server and stay in SQL Server after being sent to Dynamics 365.
Australian enterprises should verify compatibility with their desired banks, account types, and data types in the connector before use.
Open Banking - DHRP
The proper integration can help streamline banking data handling and facilitate streamlined financial processes. Results will vary by system configuration, availability of data and functions offered by the selected solution.
Controlled data feeds from the secure banking API can be used to obtain the financial data that has been authorised. The provider's security measures, access and data handling practices should be evaluated before implementation.
When supported by the connector selected, automated bank feeds for Dynamics 365 Finance can help minimise the need for manually downloaded statements. DHRP's current Banking Connector features a seamless bank feed and bank statement generation.
The automation of bank statements in Dynamics 365 may ease the manual workload of creating bank statements for finance processes. The specific workflow will vary depending on the connector, configuration and bank data present.
Businesses can benefit from multi-bank connectivity, which allows finance teams to control the banking details from different institutions they support via compatible apps. Check bank coverage and whether the data and functions are available on each account.
Open Banking - DHRP
Australian bank connectivity enables a compatible application to retrieve banking information that the financial institution supports. The integration process can vary based on the provider, the data to be integrated, and the systems that will import the data.
Identify the banks that your business interacts with, what information is necessary and which app requires access. This contributes to setting up the technical and functional specifications for the integration.
Look for providers that have the institutions you want, provide banking information, and are compatible with your system, as well as having security measures and relevant regulations in place. Verify if they accept the banks and data types your business requires.
Fill in the necessary authentication and authorisation procedures. If the Consumer Data Right applies, the sharing of data must be done in compliance with consent and access.
The integration fetches allowed data and provides it to compatible applications. The data format, updates and functions available are dependent on the API and integration design.
Banking information can be used to assist with transaction imports, financial reporting and reconciliation, if the integration provides those functions, once it gets into the receiving system.
DHRP Services
An open banking API platform in Australia must be measured against banking requirements along with software surroundings and data access requirements. It will depend on your requirements and the ERP system you're using, as well as the access you require to designated CDR data or wider integration across the financial applications.
Before you pick a provider, think about the following:
See if the Australian banks and types of accounts are covered.
Check if any information on the accounts, balances and history of transactions is available.
Determine if the integration will work with your financial system and necessary workflows.
Review data update frequencies and ensure that the time is appropriate for your business.
Audit authentication, consent control, data protection and related regulations.
Know what happens when you change the API, when there is an error in the connection, or when there is an integration issue.
An ERP Open Banking connector must address your operational and technical needs. Don't presume that all providers provide access to all banks, data types or CDR arrangements.
DHRP Services
The speed of real-time banking data integration to ERP systems could allow companies to get financial information earlier; however, true update regularity will rely on the bank, API service provider and integration. Some solutions do not update data continuously, but rather at a scheduled time; check timing before you say that a service is real-time.
Where available, an ERP Open Banking connector can include accounting and transaction imports/bank reconciliation. If your business uses Dynamics 365 Finance, evaluate the integration based on existing banking workflows, statement needs, and supported financial institutions.
Another key consideration for businesses seeking data integration services through the CDR API is whether the provider complies with Australia's Consumer Data Right regulation and the data-sharing agreements. Connectivity to the general banking API should not be viewed as a guarantee that an integration is CDR-enabled.
FAQs
Find answers about banking data access, Dynamics 365 integration and the requirements to consider.
Get in TouchOpen banking API integration lets compatible applications access financial data authorised by them in the form of APIs. Information and functionality will be available based on the bank, provider and permissions. DHRP is not currently subject to the Australian CDR framework and uses Plaid APIs for its current Banking Connector.
Banking integrations can import bank data supported by the integration into Dynamics 365 Finance. The Banking Connector provided by DHRP will enable linking of bank accounts, retrieval of historical data, daily updates and generation of bank statements. Verify Australian bank/account coverage with DHRP before implementation.
Banking data access APIs enable applications to make requests for the information that is approved, such as account details, balances, transaction history, etc. The information may be useful for accounting, financial reporting and reconciliation as per integration. The data provided is dependent on the provider and access rights.
Banking integrations can automate bank data retrieval if the banking solution selected supports the bank and workflow. DHRP's Banking Connector has been developed to simplify and automate the bank feeds and statement generation in D365 Finance. Verify banks supported, configuration requirements and update frequency with DHRP.
CDR API data integration services are services that make it possible to integrate applications with data sharing, which is part of Australia's Consumer Right framework. At present, DHRP's Banking Connector is not based on the CDR framework. For businesses needing a CDR-based integration, it's important to check the provider's status and compliance requirements prior to implementation.
We'd love to hear from you. Please fill out this form.
