Visa Exits U.S. Open Banking — What Corporate Treasurers Should Know

Visa Exits U.S. Open Banking — What Corporate Treasurers Should Know

From Treasury Masterminds

1. Recent Developments: Visa Shutters U.S. Open Banking Unit

In late August 2025, payments giant Visa decided to shut down its open banking operations in the United States. The unit had offered fintechs streamlined access to bank account data, helping with onboarding and transfers. However, heightened disputes between banks and fintech firms over data access fees ultimately prompted this retreat.

  • Banks’ Viewpoint: They argue that charging fintechs for data access helps offset costs related to security and infrastructure.
  • Fintech’s Argument: They insist that customer data should be freely shareable, since it belongs to consumers.

Visa has instead shifted its focus toward Europe and Latin America, where regulatory frameworks mandate data sharing with authorized entities. In the U.S., the Consumer Financial Protection Bureau (CFPB) is revising regulations to strengthen consumer control over financial data sharing, based on Section 1033 of the Dodd-Frank Act.

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2. U.S. vs. EU: Open Banking Regimes in Contrast

Europe (EU and UK)

  • Governed by PSD2, a binding EU directive since 2018. Banks must allow access to customer data and payment initiation by authorized third parties via secure APIs.
  • Oversight is shared between European regulators, ensuring fair competition and security.
  • Expansion toward open finance: PSD2 is evolving into broader data-sharing frameworks like PSD3 and the Financial Data Access (FIDA) regulation, covering insurance, pensions, and investments.
  • While EU-wide rules exist, implementation can vary by country. Some markets are more advanced, others slower to adopt.

United States

  • The U.S. model is still market-led, lacking a unified regulatory framework like PSD2.
  • Fintechs often rely on aggregators such as Plaid, while some banks impose data access fees.
  • The CFPB has introduced rules requiring financial institutions to provide free and secure consumer access to their data, phasing in between 2026 and 2030.
  • Banks are pushing back, citing cost and security concerns.

3. Section for Treasurers: Practical Implications

For corporate treasurers, these shifts hold tangible implications:

Access & Integration

  • In Europe, open banking is mature and regulated. Integration with fintechs for payments, cash visibility, or liquidity tools is relatively seamless.
  • In the U.S., integration remains fragmented. Future CFPB rules may provide clarity, but widespread adoption will take years.

Cost & Negotiation Dynamics

  • Europe: Banks cannot easily impose fees for API access under PSD2.
  • U.S.: Banks are testing ways to monetize data access, which could increase costs for corporate treasury systems and fintech integrations.

Regulatory Compliance & Risk

  • Europe: Compliance requirements are well-defined, and risk standards are established.
  • U.S.: The landscape is evolving, and treasurers need to stay alert to shifting rules and security risks.

Strategic Impacts

  • Corporations with global operations may find Europe more advanced for fintech-enabled treasury workflows.
  • U.S. operations may remain tied to legacy systems until regulation catches up, creating a divergence in treasury capabilities across regions.

4. Data: The Real Gold of Open Banking

At its core, open banking isn’t just about APIs, payments, or fintech connectivity — it’s about data. Without reliable, high-quality data, open banking loses much of its value.

  • Connectivity is key: Treasurers need seamless, standardized connections to banks and fintechs. Fragmented links reduce the promise of real-time visibility and automation.
  • Clean data is essential: Poor data quality — incomplete addresses, mismatched account IDs, or inconsistent formats — can block the potential of open banking and introduce operational risks.
  • Ownership matters: In the U.S., the debate increasingly revolves around who owns and monetizes the data. Banks see opportunities to charge for access, while fintechs advocate for free-flowing information on behalf of users.
  • EU takes another route: The European approach is rooted in the principle of data sharing. Access is mandatory and standardized, limiting the ability of banks to monetize data directly.

For corporate treasurers, this means the real competitive advantage lies in how well you manage and leverage data flows. Those who invest in connectivity and ensure their internal data is structured, accurate, and ready will be best placed to extract value from open banking — regardless of whether the system leans toward monetization (U.S.) or mandated sharing (EU).

5. Conclusion

Visa’s exit from U.S. open banking underscores the growing tension between banks and fintechs. The U.S. remains in a transitional phase, with new rules on the horizon but heavy pushback from incumbents. Europe, on the other hand, has a mature framework in place and is expanding into broader open finance models.

Key takeaway for treasurers: If you operate in Europe, open banking already offers tangible opportunities for innovation and efficiency. If you’re focused on the U.S., prepare for a longer journey — monitor CFPB developments closely, ensure your treasury systems are flexible, and be ready to adapt as the landscape evolves.

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