Examining the 2026 State of Open Finance Adoption Report
In the fast-evolving landscape of finance, community bankers face numerous challenges. From mounting fraud incidents to the expanding influence of nonbank firms, these institutions must navigate a dynamic and often uncertain terrain. The American Banker’s 2026 State of Open Finance Adoption survey, sponsored by Akoya, provides valuable insights into these challenges. The survey was conducted online in October 2025 and involved 218 banking professionals in various executive roles at banks and credit unions.
Declining Trust in the Federal Reserve
One of the key trends in the industry is a growing skepticism towards the Federal Reserve. This sentiment has been fueled by ongoing criticism from President Trump and the contentious relationship with Chairman Jerome Powell. Among community bankers, 50% reported a loss of trust in the Federal Reserve Board’s decisions, a sentiment echoed by 43% of credit union executives, 41% of regional bankers, and 23% of national bankers. Despite these numbers, market confidence in the central bank’s independence remains relatively strong.
Increased Investment in Fraud Defense
Another major finding is the increased focus on fraud defense. A total of 66% of community bankers listed enhanced security and fraud mitigation as a top spending priority for 2026. This trend was also observed among other banking institutions, with credit unions (57%), regional banks (50%), and national banks (44%) also prioritizing investments in fraud mitigation.
Artificial Intelligence to the Rescue
Artificial intelligence (AI) technologies are seen as a significant asset to combat these challenges. A substantial 66% of community bankers believe AI can significantly improve fraud detection and mitigation. Furthermore, 54% believe AI can enhance back-office efficiency. These numbers indicate a clear trend towards the adoption of AI in the banking industry.
Check Fraud: An Ongoing Threat
Despite the uptake of digital banking, check fraud remains a significant concern, particularly for community banks. In fact, 56% of community bankers identified check fraud as the biggest impending threat in 2026. The tangible nature of checks and the traditional delivery channels they navigate make monitoring and detection a significant challenge.
The Rise of Nonbank Competition
Nonbank entities have emerged as formidable competitors in the financial sector. A majority of community bankers (62%) view nonbank payment companies as a threat for 2026. Simultaneously, nonbank mortgage companies (59%), credit unions (52%), and nonbank stablecoin issuers (44%) are also seen as potential threats. This trend underscores the shifting dynamics of the banking landscape and the need for traditional banks to adapt and innovate.
For a deeper look into the American Banker’s 2026 State of Open Finance Adoption report, click Here.
