Trust and Acceptance of Open Banking API’s Among Indian Consumers

Open Banking allows banks to share customer financial data with third-party apps through APIs, with the customer’s permission. This system can make banking services more convenient, personalized, and innovative. However, many Indian consumers are still unsure about using Open Banking because of concerns related to trust, data security, and privacy. This study explores how Indian consumers perceive Open Banking APIs and identifies the key factors that influence their trust and willingness to use such services. The study focuses on factors such as usefulness, ease of use, safety of personal data, privacy concerns, and trust in banks and government regulations. Data were collected from Indian banking customers using a questionnaire and analysed to understand consumer behaviour. The findings show that consumers are more likely to accept Open Banking services when they find them useful and easy to use. At the same time, concerns about data misuse and privacy reduce their willingness to adopt these services. Trust in banks and regulatory systems plays an important role in increasing consumer confidence. The study highlights the need for stronger data protection, better awareness, and transparent policies to improve consumer trust and encourage wider adoption of Open Banking in India.