A bipartisan group of Senators sent a letter today expressing their support for industrial loan company (ILC) charters to Martin J. Gruenberg, acting chair of the Federal Deposit Insurance Corporation (FDIC). Led by Senators Mitt Romney (R-UT) and Catherine Cortez Masto (D-NV), the group highlighted how ILCs are an integral and necessary part of the financial services marketplace. Sen. Romney also published an article in the American Banker highlighting the letter.
“We write today to express support for the industrial loan company (ILC) charter and respectfully remind you to ensure the Federal Deposit Insurance Corporation (FDIC) continues to follow the laws that Congress carefully designed for the FDIC to consider new deposit insurance applicants, including ILCs,” the letter stated.
In a time of higher consumer prices, even higher inflation rates, and increased uncertainty about employment in the face of the economic downturn, AFSA appreciates the Senators’ support for more financial services options for American consumers and businesses, not fewer.
ILCs are safe and secure financial institutions fully regulated at the state and federal level. Moreover, the ILC applications that have been filed will prioritize investments in a clean energy economy and help expand domestic mobility. The FDIC should encourage, if not maintain, ILC activities and not hinder charter application processes.
The full list of senators on the letter includes Senators Mitt Romney, Catherine Cortez Masto, Marsha Blackburn (R-TN), Roy Blunt (R-MO), Bill Hagerty (R-TN), Mike Lee (R-UT), Gary Peters (D-MI), Jacky Rosen (D-NV), and Krysten Sinema (D-AZ).
For almost 50 years, AFSA has worked to protect and expand the use of ILCs to expand responsible credit options for all Americans, including through congressional testimony and numerous comment letters.
A bipartisan group of Senators sent a letter today expressing their support for industrial loan company (ILC) charters to Martin J. Gruenberg, acting chair of the Federal Deposit Insurance Corporation (FDIC). Led by Senators Mitt Romney… Read the rest
Last week, AFSA emphasized to House Financial Services Committee members that ILCs are highly regulated and well-capitalized. AFSA’s testimony was entered into the record by Chairman Ed Perlmutter (D-CO)as part of a subcommittee hearing… Read the rest
This week, the FDIC finalized a rule to require certain conditions and commitments for each deposit insurance application approval from an industrial bank or industrial loan company (ILC) whose parent company is not subject to consolidated… Read the rest
The Power of Pricing Optimization in a Tumultuous Auto Finance Landscape
April 13, 2023 | 2:00 p.m. ET
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Even in the sometimes-arcane world of academic research where biases were once frowned upon, it’s interesting to see how those biases have real world consequences.
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AFSA opposes the recently introduced Close the Shadow Banking Loophole Act, which targets the ability of industrial loan companies (ILCs) to exist in the financial service marketplace. Led by Senate Banking Committee Chairman Sherrod … Read the rest
Join us on November 17th at 2:00 p.m. for Disrupting The Status Quo: Learn How AI and Machine Learning are Creating Unprecedented Efficiencies in Auto Finance, presented by Wolters Kluwer.
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Join us on October 20th at 2:00 p.m. for Best Practices in Automated Credit Dispute Handling, sponsored by FTI Consulting
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