Washington, D.C (Aug. 1, 2018)—Independent Community Bankers of America® (ICBA) President and CEO Rebeca Romero Rainey issued the following statement on the Treasury Department report on nonbank financial services and Office of the Comptroller of the Currency announcement that it is accepting special-purpose bank charters for fintech firms.
“ICBA commends the Treasury Department for studying the important issues covered in its report on nonbank financial firms and financial technology, which includes recommendations on how policymakers can modernize federal regulations and embrace innovation.
“The Treasury report includes a variety of ICBA priorities, such as enacting a federal data security and breach notification law, modernizing the Telephone Consumer Protection Act and other laws, harmonizing state licensing requirements and guidance on third-party partnerships, codifying the ‘valid when made’ doctrine, and encouraging continued Federal Reserve leadership on payments modernization.
“Meanwhile, ICBA remains concerned that instituting a special-purpose national bank charter for fintech firms would create an unlevel regulatory playing field. The Office of the Comptroller of the Currency should procure explicit statutory authority from Congress before it issues fintech charters. Any new chartered institution should be subject to the same supervision and regulation required of community banks, including oversight and regulation of parent companies under the Bank Holding Company Act.
“ICBA and the nation’s community bankers look forward to continuing to work with Treasury and the OCC on these issues to promote a modernized system of federal oversight that is equitable for all regulated institutions.”
The Independent Community Bankers of America®, the nation’s voice for nearly 5,700 community banks of all sizes and charter types, is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education and high-quality products and services. For more information, visit ICBA’s website at www.icba.org.