FDIC Calls for Transparency in Bank-Fintech Partnerships

The US Federal Deposit Insurance Corporation has called for greater transparency in partnerships between banks and fintech companies, signalling increased regulatory attention on the growing bank-fintech ecosystem.

The FDIC's push for transparency responds to concerns that some bank-fintech arrangements lack adequate oversight and could expose consumers and the banking system to risks that are not fully visible to regulators.

The call for transparency is part of a broader regulatory trend toward closer scrutiny of bank-fintech partnerships, where fintechs often rely on bank charters to offer financial products while operating with different risk management and compliance frameworks.