Open banking milestone promises faster, safer checks for borrowers
Akahu has processed the first loan applications using New Zealand’s newly regulated open banking system, in what the open finance infrastructure provider calls a major step forward for the country’s financial sector.
One of the first organisations accredited by the Ministry of Business, Innovation and Employment (MBIE), Akahu is enabling early‑adopter lenders and brokers to switch from legacy data‑sharing methods to regulated connection flows.
Through Akahu, customers of Simplicity, Indi, Squirrel, and New Zealand Home Loans (NZHL) can now securely link their bank accounts so lenders and brokers can instantly and safely fetch income and expense data as part of the loan application process.
For lenders, this means faster, more accurate credit decisions. For brokers, it cuts down manual admin and document chasing, speeding up applications and helping lift completion rates.
Akahu’s milestone comes as New Zealand’s new open banking regulations enter their first phased rollout, requiring the major banks to open up customer data via secure APIs and paving the way for brokers and fintechs to automate income and expense checks.
Akahu co‑founder Josh Daniell (pictured left) said regulated open banking is already reshaping how Kiwi borrowers share their data.
“We’re excited to be helping to drive consumer adoption of New Zealand’s regulated open banking system," Daniell said. "With this technology, we’re reducing admin, improving accuracy, speeding up decisions, and replacing outdated processes with a system that puts Kiwi consumers first.
"The early adopters are using these processes now, and we expect them to become mainstream during 2026. Ultimately, the regulated open banking system makes it easier for New Zealanders to safely use their own data to shop around for better rates.”
From screenscraping to secure, regulated data sharing
Industry leaders say the shift away from older connection methods will help address long‑standing security and usability concerns.
Sam Stubbs (pictured center), CEO of Simplicity, said the new framework delivers on years of advocacy for regulated open banking.
“We've been advocating for a regulated open banking system for many years, and now we're getting to use it," Stubbs said. "When a Simplicity member applies for a home loan with us, they can now share their financial information quickly and simply, without sharing their bank login credentials.”
Squirrel founder John Bolton (pictured right) said the change is particularly important for customers who were uncomfortable with legacy screenscraping tools.
“Some of our clients were wary of using the old screenscraping methods to share their financial information. This new regulated open banking system is more secure, and there is a consistent set of rules for how it works across all of the major banks.”
Accreditation paves the way for 2026 adoption
Akahu was included in the first group of organisations accredited in December to use New Zealand’s regulated open banking system.
Under the new framework, consumers no longer need to enter their online banking login details into third‑party apps. Instead, consent and authorisation happen directly between the user and their bank, replacing older connection methods with a more secure, standardised process that aims to improve both data protection and reliability.
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