What is open banking?

Quick answer

Open banking allows a property management platform to securely connect to your bank account and automatically detect rent payments. It uses the European PSD2 directive to read transactions (read-only access) and match them to expected rent payments using structured references. No manual bank statement checking is required.

Open banking was introduced by the European PSD2 directive (Payment Services Directive 2), which requires banks to provide secure API access to authorised third-party providers. For landlords, this means:

  • Automatic payment detection: the software reads incoming transfers and identifies rent payments
  • Structured reference matching: each tenant has a unique payment reference, enabling automatic reconciliation
  • Late payment alerts: if rent is not received by the due date, the system notifies you immediately
  • Amount verification: the system flags payments that do not match the expected rent amount

How it works for landlords

StepWhat happens
1. Connect your accountAuthorise the platform to read your bank transactions (read-only)
2. Set up tenantsAssign a structured payment reference to each tenant
3. Define due datesSet the expected payment date for each lease
4. Automatic matchingThe system matches incoming transfers to expected payments
5. Alert on exceptionsLate payments or incorrect amounts trigger notifications

The entire process is read-only: the platform cannot make transfers or modify your account in any way. You can revoke access at any time through your bank’s online portal.

BailBelgique tip

BailBelgique’s open banking integration works with all major Belgian banks (KBC, BNP Paribas Fortis, ING, Belfius, CBC). Connection takes less than 5 minutes via secure authentication.

Security and compliance

Open banking in Belgium is regulated and secure:

  • PSD2 compliant: only authorised providers (licensed by the NBB) can access bank data
  • Read-only access: the platform can only read transactions, never initiate payments
  • Strong authentication: connection requires your bank’s authentication (eID, itsme, card reader)
  • GDPR compliant: tenant payment data is processed in accordance with European data protection rules
  • Revocable: you can disconnect access at any time through your bank

The National Bank of Belgium (NBB) maintains a register of authorised payment service providers. Only providers on this register can offer open banking services.

Regional specifics

Brussels-Capital Region

The Ordinance of 27 July 2017 does not specifically address open banking. The federal PSD2 framework applies uniformly. Brussels landlords managing multiple properties benefit most from automated tracking.

Wallonia

The Decree of 15 March 2018 applies the same federal framework. No regional specifics affect open banking usage.

Flanders

The Flemish Housing Rental Decree of 9 November 2018 does not add specific rules. The federal PSD2 framework applies.