From a security perspective it makes sense. If an app actively abuses such information it would be easy enough to hide it in a future build. The only way around that is an attestation scheme such as SafetyNet.
https://www.straitstimes.com/singapore/uob-dbs-introduce-new...
As for getting upset about sharing a phone with unapproved apps, I think this is a failure of sandboxing. The app should see as much of the phone as I want it to and no more.
These days banks have KYC and should know who finally gets the money. Even across borders except perhaps in North Korea etc. for those countries that don't co-operate entire SWIFT system must be blocked.
But for some reason they try other things, blame users but never claw back