FDIC proposes new beneficial owner record regulations for bank-fintech partnerships to enhance deposit insurance accuracy.

The FDIC has proposed new regulations requiring banks to maintain detailed records of beneficial owners for custodial deposit accounts linked to fintech partnerships. This aims to improve deposit insurance accuracy and compliance but may complicate collaborations between banks and fintechs. Industry experts warn these rules might deter partnerships, highlighting the need for fintechs to take responsibility for risk management and regulatory standards to ensure sustainability in financial services.

September 23, 2024
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