FDIC proposes tougher recordkeeping rules on fintech partners

Under the proposed rule, banks working with fintech companies would need to identify the beneficial owners of each account and its balance.

The Federal Deposit Insurance Corp (FDIC) has proposed that banks bolster recordkeeping requirements for accounts held by fintech companies on behalf of their customers. The proposal follows the collapse of bank-fintech middleman Synapse Financial Technologies earlier this year – a failure that led to the freezing of thousands of customer accounts.

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