NCRC, Rise Economy and Woodstock Applaud OppFi’s Decision to Withdraw Bank Holding Applications

The National Community Reinvestment Coalition (NCRC), Woodstock Institute and Rise Economy applaud OppFi, Inc.'s (OppFi) decision to withdraw its applications to acquire BNCCORP, Inc. and its wholly owned subsidiary, BNC National Bank (BNC) and to become a bank holding company.

"OppFi is a high-cost, high-risk lender that has no business being in the business of national banking," said NCRC's President and CEO Jesse Van Tol . "We applaud the efforts of our members to put pressure on regulators to deny OppFi's application. We continue to urge bank regulators to put consumers and the safety and soundness of the financial system first by not allowing predatory lenders access to the banking system."

"A bank charter comes with significant privileges and responsibilities. It should expand access to safe, affordable credit and serve consumers, small businesses, and communities. It should not be used to help lenders evade state consumer protection laws or extend high-cost lending into markets where those loans are restricted. OppFi's decision to withdraw its applications is welcome, at least for now. Federal regulators must ensure that any institution seeking access to the banking system will strengthen communities and protect consumers, not expose them to greater financial harm," said Paulina Gonzalez-Brito, CEO of Rise Economy.

"OppFi's withdrawal is a victory for consumers over predatory financial practices. OppFi continues to make 100%+ APR loans in Illinois despite our 36% APR rate cap , and a federal bank charter would have further undermined state-level consumer financial protections across the country, said Jane Doyle, Director of Policy & Advocacy at Woodstock Institute. "We are grateful for the advocates who mobilized against this application and for the 18 state attorneys general who helped hold the line for consumers."

The three nonprofit, economic justice organizations previously teamed up in July to submit a letter in opposition to OppFi's applications, highlighting the unacceptable risks for low- and moderate-income communities, consumers and small businesses, as well as the safety and soundness of the financial system that would come from granting OppFi direct access to the banking system.