Ahead of NAFCU’s congressional testimony tomorrow on the risks of fintech chartering, NAFCU President and CEO Dan Berger joined Fox Business Reporter Charlie Gasparino to discuss the issue on The Claman Countdown.
Gasparino asked Berger what NAFCU’s message to Washington is.
“It’s really simple, all we want is to make sure regulators create a fair and level playing field between fintechs and other financial institutions,” Berger said. “We want to ensure that any new banking models are held to the same high standards as credit unions and banks.”
Berger detailed how some fintech companies are taking advantage of regulatory loopholes “that escape the oversight of federal financial regulators” and do not clearly require certain fintech companies to follow the same capital requirements that apply to insured banks and credit unions. Berger said this situation is “bad news for consumers and taxpayers” and it can create systemic risk in the financial system.
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