ILCs

The company withdrew an earlier bid to become an ILC after regulators identified problems with its application. It is seeking a Nevada bank charter because it wants to add deposit management services and expand into small-business lending.

Citigroup's made some strides after the battering its share price took last year, but it still trails JPMorgan Chase and Bank of America; chiefs at the top U.S. global banks own on average more than 15 times the amount of their own firm's stock than their European counterparts.

The industry trade group said Rakuten's nonfinancial activities raise questions about its pursuit of a banking charter.

Rakuten joins a growing list of fintechs trying to enter the regulated banking sector. All have faced their share of obstacles.

Financial startups are becoming important partners for community banks and credit unions, despite lobbying efforts to limit their growth.

Financial startups are becoming important partners for community banks and credit unions, despite lobbying efforts to limit their growth.

Readers consider Square's bid to become an industrial loan company, weigh the Federal Deposit Insurance Corp.'s oversight of brokered deposits and debate reforms to the Consumer Financial Protection Bureau.

By applying to become an industrial loan company, the fintech would be able to use insured deposit accounts as a cheap source of funding without having to comply with the tough rules banks face.

Readers weigh in on Democrats' call for more scrutiny of the BB&T-SunTrust merger, changes to the CFPB's payday lending rule, criticism of Square's ILC application and more.

By applying to become an industrial loan company, the fintech would be able to use insured deposit accounts as a cheap source of funding without having to comply with the tough rules banks face.