Banking Law News

Fintech Lender SoFi Renews Bid to Become a National Bank

July 10, 2020, 1:22 PM

Online lender Social Finance, Inc. has renewed its push to form a bank, applying to the Office of the Comptroller of the Currency for a full-service national banking charter.

The move is a bid to compete directly with traditional banks on products marketed to younger customers, partially funding loans it issues through deposits without the additional costs of a banking partner.

If successful, SoFi would join the ranks of Square, Inc. and Varo Money in financial technology companies that became banks.

The nine-year-old company is best known for student lending but has expanded in recent years into mortgage and consumer...

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