Digital banking app Revolut is planning to apply for a bank charter with the Federal Reserve Bank of San Francisco and California’s Division of Financial Institutions within weeks.
Even though Revolut’s bank charter will be with California, it will allow the lender to operate widely throughout the United States through interstate agreements, according the report.
Revolut, which raised $500 million in a fresh funding round at a valuation of $5.5 billion earlier this year, will become the latest fintech company seeking to become a regulated bank.
In March, the U.S. Federal Deposit Insurance Corp approved payment company Square Inc’s SQ.N application to become a bank under a special charter.
Earlier this year, San Francisco-based online lender Lending Club Corp LC.N bought Radius Bank for $185 million in part to gain a national bank charter.