The move by the US Office of the Comptroller of the Currency opens the door for companies such as OnDeck Capital Inc, Kabbage, and LendingClub Corp to operating nationwide under a single licensing and regulatory regime instead of a patchwork of state licenses.
The decision came hours after the Treasury Department endorsed the approach. Effective immediately, the US Office of the Comptroller of the Currency will accept applications from non-depository fintech companies for a special purpose national bank charter.
The regulator said successful applicants would be supervised similarly to comparable banks, and companies must provide a contingency plan for how they would navigate financial stress that could threaten their operations.
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