Account Aggregators have regulated entities that facilitate consented data between FIPs and FIUs. This data is facilitated based on the guidelines/framework set by Data Empowerment Protection Architecture (DEPA). They act as a bridge between information providers, i.e., banks, and users like lenders to enable data facilitation.
In simple words, an Account Aggregator is a consent manager for Financial Data: a new class of NBFC approved by RBI to manage consent for financial data sharing. It was created through an inter-regulatory decision by the Reserve Bank of India (RBI), Securities and Exchange Board of India (SEBI), Insurance Regulatory and Development Authority (IRDAI), Pension Fund Regulatory and Development Authority (PFRDA) through the Financial Stability and Development Council (FSDC). RBI licenses the AAs.
