For years, Americans have been giving their banking data to financial apps such as Venmo, YNAB and Rocket Mortgage. And for years, banks have been trying to figure out how to deal with the security risks. A new proposal from the Consumer Financial Protection Bureau suggests a better way.

For customers, the ability to seamlessly share financial information with other companies has obvious benefits. So-called -bsp-bb-link state=”{“bbHref”:”bbg://news/stories/RU4DZNT0G1L7″,”_id”:”0000018b-af52-db85-afab-af524dfb0000″,”_type”:”0000016b-944a-dc2b-ab6b-d57ba1cc0000″}”>open banking<!—-> can spur competition, both by making it easier to change providers and by encouraging innovation. Furnishing potential lenders with up-to-date information on an individual’s spending and savings can also result in better lending decisions. All told, …