Why lending responsibly needs a 360° view of consumer spending

In today’s digital world, flexible and personalised experiences are everything to consumers, and banking is no different. With more choice than ever, people are choosing the providers that match their needs and managing their money across multiple accounts and apps. A salary might be paid into one account, but everyday essentials like rent, groceries, streaming subscriptions, or even repayments are often paid from secondary accounts.

At the heart of this ecosystem are lenders, helping people access the credit they need. Whether it’s getting on the property ladder, buying a car, or covering unexpected costs, credit provides support at key moments. But to lend responsibly, and ensure the right outcomes for consumers, lenders need to see the full picture. And that’s getting harder.

The hidden challenge: seeing only part of the picture

When financial lives span multiple accounts, traditional credit checks often miss key information. A single bank statement might show a regular salary, but not the side income helping to cover bills. It might show stable spending but overlook growing repayments elsewhere.

This causes three challenges:

1. Incomplete financial visibility

Recurring payments, like loans, subscriptions, or BNPL, often sit outside a customer’s main account. Without sight of these, lenders may overestimate disposable income or miss signs of financial strain, leading to decisions that aren’t right for the borrower.

2. Delayed insight into credit use

New credit products often show up in transaction data long before they’re reported to bureaus. Without that early visibility, lenders might offer further credit without realising a customer is already taking on more debt, putting both parties at greater risk.

3. Slower, more manual decision-making

Without easy access to a complete financial picture, lenders often rely on applicants to upload statements or provide additional documents. This slows the process, creates friction for the consumer, and risks losing them to faster, more seamless providers.

With industry pressure mounting, and a growing focus on responsible, consumer-centric lending, addressing these gaps is more than just compliance. It’s essential to supporting better decisions, fairer outcomes, and safer access to credit.

A shift in thinking: why broader data means better lending

The good news? The fragmented view of consumer finances doesn’t have to be the norm.

With access to richer data from multiple accounts, lenders can build a more complete, accurate understanding of someone’s financial life, from income stability and everyday expenses to existing liabilities and repayment behaviours.

That insight helps lenders make smarter, more responsible decisions. And for consumers, it means stronger protection from unaffordable borrowing and fairer access to the credit they need. And thanks to open banking, this kind of clarity is now within reach.

From theory to reality: how open banking is changing the game

Open banking has already changed how financial data is accessed, putting consumers in control of their information and allowing them to share it securely, on their terms and only when needed. It’s helped move the industry away from static paperwork and toward more dynamic, real-time assessments.

But basic access is just the beginning.

As financial lives grow more complex, the next challenge is making sense of the full picture, especially when consumers use multiple accounts for different parts of their financial life.

That’s where open banking needs to evolve, not just enabling access, but helping turn multiple, isolated data points into connected, meaningful insight.

When financial data from multiple accounts can be securely shared in a single flow, with full consumer consent, lenders can build a far more accurate picture of affordability.

• They can see everyday spending in context
  
• Spot silent costs like subscriptions or repayments that often sit outside the main account
  
• And identify behavioural patterns that may signal financial strain or stability
  

Visa and Tink’s Multi Banking Link brings this next step to life – helping lenders unlock richer, more connected insight, grounded in how people actually manage their money today.

More data, less friction

Despite the depth of insight Multi Banking Link provides, the experience remains simple.

For consumers, it takes just a few clicks to link accounts, with full transparency and control over what’s shared. There’s no need to fill out forms, upload documents, or wait for manual review. The process is fast, intuitive, and designed to meet modern expectations around ease and control.

For lenders, the benefits can be seen quickly, with cleaner data, richer categorisation, and stronger decision models from the start. The result is faster decisions and fairer, more accurate outcomes for applicants.

Built for better outcomes

Lending isn’t just about approving or declining an application. It’s about making decisions that protect consumers from overextending themselves and help lenders manage risk more responsibly.

Multi Banking Link supports that goal. It helps reduce false declines by revealing creditworthiness that might otherwise be missed. It flags potential early signs of affordability issues, before they turn into defaults. And it enables more inclusive lending by reflecting real-world behaviour alongside or complementing a credit bureau score.

As lending evolves, tools like Multi Banking Link by Tink support fairer, more accurate decisions, helping ensure credit reflects real circumstances and supports financial wellbeing.

Built for impact. Ready to go.

Whether you're a bank, a BNPL provider, a FinTech, or even a local authority offering deferred payment options, if you’re making decisions about who can afford to borrow, this marks a clear step forward.

Interested in seeing it in action? Get in touch to learn more or book a live demo.