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A to Z of financial terms

See our definitions to help you understand financial and legal terms.

First published: 20/03/2023 Last updated: 20/03/2023

This is a new service and we are still building our library of terms - please let us know any comments or suggestions for new definitions in the page feedback section below.

Open banking

Open banking is a term used to describe a set of technologies and standards that allow consumers to safely and securely share their account information, for example through apps and websites. Read more about OpenBanking on MoneyHelper's website.

Open finance

Open finance builds on the principles of open banking, to give consumers more control over their financial data. It extends data-sharing to a wider range of financial services and products from savings and insurance to mortgages, pensions and credit.

Option

A derivative contract that grants the owner the right to acquire or dispose of assets at a specific price, on or before a specific date. Because they're high risk, they're not suitable for all customers. Our rules mean that these products must be marketed and sold appropriately to the right customers.