Fintechs Might See ILC Charters as the Way Forward

There is uncertainty surrounding the OCC fintech charter because the Fed is rumored to not fully support the idea; that now puts the industrial loan charter back in focus as another option for non banks and fintech firms; Square’s application is seen as the test case, if approved you might start seeing more companies apply; there has been a few applications in the last couple of years, but all withdrew to bolster their applications and only Square has refiled; the ILC charter comes with its own issues and there has not been an approval in a long time; until the Fed provides clarity fintech firms will continue to explore their options as they try to access the banking system. Source.

Todd is the Chief Product Officer of LendIt Fintech.

He is the host of PitchIt: the fintech startups podcast, a weekly interview show featuring emerging fintech founders and leading venture capitalists.

He is responsible for leading the content team which covers fintech through daily & weekly email newsletters, editorial, virtual events, and in-person conferences.

He has been covering fintech, banking, and venture capital for more than 15 years, including speaking regularly at industry events.

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