ICBA and the Bank Policy Institute sent a letter to the FDIC voicing opposition to Klarna's application to form an industrial loan company. ICBA and BPI said if granted insurance, Klarna Bank could pose a significant and unnecessary risk to the Deposit Insurance Fund and the broader financial system.

They also said that the FDIC should establish a comprehensive framework for reviewing and supervising ILCs and their parents and affiliates before acting on any ILC deposit insurance applications.