Licenses and charters

In a unique deal, organizers of Village Financial Cooperative received $500,000 from the Minneapolis City Council as they aim for a June opening.

A bill recently introduced in the California state assembly would create a framework for local governments to set up their own taxpayer-owned banks. It’s more specific than other public-bank proposals, which raised more questions than they answered, but still faces long odds.

The Association for Black Economic Power will receive an interest-free forgivable loan and a grant from the city to help pay for a retail space and equipment for the effort.

The Federal Reserve and Federal Deposit Insurance Corp. will hold two public meetings to consider the deal's impact on the U.S. banking system.

With the two companies said to be still mulling which charter to seek, the various options each have possible advantages and drawbacks.

Ronald Rubin, who was a CFPB enforcement attorney, will head an office overseeing nearly 200 state-chartered banks.

The agency began seeking comments in December through a "request for information" on how to improve the agency's process for considering new deposit insurance applications.

As suspense builds over which firm will be the first to seek the special-purpose charter, a side discussion has emerged over which financial services sector has the most to gain — or lose — from the new option.

The industrial loan company charter is getting more attention as doubts grow about a new federal license for fintechs.

Some in the industry worry the Fed may balk at allowing OCC charter recipients into the payments system, but Otting downplayed those concerns.