SoFi applies to open a national bank


If it’s approved, the charter is expected to lower the fintech’s cost of funds and allow for more product offerings. It comes nearly three years after SoFi pulled the plug on an earlier effort to open an industrial bank.


Big banks join fight against new ILCs


Small banks have long led the campaign against industrial loan companies, arguing they can be used to violate the separation of banking and commerce. But now the industry’s heavyweights are also taking a hard line in response to an FDIC proposal that would give tech companies a smoother path into the lending business.


Edward Jones seeks FDIC coverage for industrial loan company


The investment firm is the latest nonbank to try to enter banking through a Utah-based ILC.


Banking industry renews opposition to Rakuten's ILC application


Three banking trade associations told the FDIC that Rakuten Bank America, even after revisions to its earlier application to the agency, would still violate the separation of banking and commerce as well as present consumer privacy concerns.


Even with FDIC endorsement, fintechs' path to becoming banks is bumpy


Recent steps that would help nonbank lenders enter the traditional banking system, like a proposal clarifying the industrial loan company charter, are needed but face strong opposition.


Rakuten refiles with FDIC for ILC charter


The Japanese e-commerce giant is taking another run at a U.S. banking charter after receiving feedback from the Federal Deposit Insurance Corp. about its initial application, which was withdrawn earlier this year.


Rakuten withdraws ILC application, plans to refile


The company's plan had drawn strong criticism from bankers about Rakuten's potentially controlling an industrial loan company while engaging in its non-financial businesses.


ILC freeze breaks with federal approvals for Square, Nelnet


In signing off on deposit insurance for the payments giant and student loan servicer, the FDIC sanctioned the first new industrial loan companies in over a decade.


FDIC nears decision on ILC bids as it floats new standards for charter


On the same day the Federal Deposit Insurance Corp. said it will soon rule on two applications, the agency also proposed benchmarks for all firms that want to own industrial loan companies.


Equipment finance firm applies for industrial loan charter


GreatAmerica Financial in Iowa is looking to form a bank so it can offer more products to small and midsize companies.