Van Hollen, Warren Call on Predatory Lender Opportunity Financial (“OppFi”) to Withdraw National Bank Application

U.S. Senators Chris Van Hollen (D-Md.) and Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing and Urban Affairs Committee, wrote to Opportunity Financial ("OppFi") to oppose the lender's application to acquire a national bank and become a bank holding company, given that OppFi's business model is built on predatory lending practices, including triple-digit interest rates.

"OppFi-a nonbank lender that provides financial services to consumers through installment loans-brands itself as a lender that 'empower(s) everyday consumers to overcome financial hurdles and build long-term financial stability,'" wrote the Senators. "But, a closer look into its business model reveals persistent, predatory financial strategies."

"OppFi's application to acquire a national bank came mere months after a very similar predatory lending nonbank applied to do the same," wrote the Senators. "On January 28, 2026, Enova-a lender that charges up to 99.99% APR on its NetCredit bank partnership loans and up to 300% or higher on its state-licensed CashNetUSA loans-filed an application to acquire Grasshopper National Bank, to move the bank from New York to Utah, and to become a bank holding company."

The Senators noted: "In fact, OppFi's products have the potential to be even more harmful than Enova's: OppFi lends up to 195% APR and has very aggressive refinancing practices, whereas the NetCredit loans that Enova proposed to make through its bank are currently limited to a still-egregious 99.99% APR."

"Given OppFi's similarly structured predatory lending practices, paired with the mounting opposition it has received to date in regards to its application and Enova's appropriate decision to change course, we believe OppFi should withdraw its application to acquire a national bank, immediately," the Senators concluded.

Full text of the letter is available here and below.

Dear Mr. Schwartz:

We write to express our opposition to Opportunity Financial's ("OppFi") application to acquire a national bank and become a bank holding company. In light of recent news that a similar nonbank predatory lender, Enova, decided to withdraw its application to acquire a national bank after an outcry from consumer advocates, we urge OppFi to follow suit and immediately withdraw its application to the Federal Reserve ("Fed"), the Office of the Comptroller of the Currency ("OCC"), and the Federal Deposit Insurance Corporation ("FDIC"). Like Enova, OppFi offers predatory products with the potential to harm consumers. In fact, OppFi's products have the potential to be even more harmful than Enova's: OppFi lends up to 195% APR and has very aggressive refinancing practices, whereas the NetCredit loans that Enova proposed to make through its bank are currently limited to a still-egregious 99.99% APR.

OppFi-a nonbank lender that provides financial services through installment loans to consumers -brands itself as a lender that "empower[s] everyday consumers to overcome financial hurdles and build long-term financial stability." But, a closer look into its business model reveals persistent, predatory financial strategies. OppFi charges up to 195% APR on personal installment loans. OppFi's rate of charge-offs (i.e., when a lender determines a debt is unlikely to be collected) exceeds 55%. Notably, a 2021 lawsuit filed by the D.C. Office of the Attorney General alleged that "OppFi's underwriting model anticipates that up to one third of their borrowers will fail to repay their loans and default." A recent report also demonstrates that the majority of OppFi's income comes from loan refinancings-reinforcing concerns that its business model is focused on extending loans that people cannot afford to repay on their original terms without reborrowing. OppFi itself stated that its average loan term is only four months even though its minimum loan term is nine months, and loans go up to 18 months. Clearly, OppFi aggressively pushes borrowers to refinance in order to extend their debt and increase borrowing costs.

OppFi is seeking to expand its lending operations by attempting to acquire a national bank that enjoys the benefits of federal preemption. On April 28, 2026, OppFi announced an agreement to acquire BNCCORP, Inc. ("BNCC") and its subsidiary, BNC National Bank ("BNC"), to move it to Utah, and to become a bank holding company. By acquiring BNC, OppFi would unlock the benefits of the bank's national bank charter for the purposes of expanding its lending strategies nationally, side-stepping the interest rate caps of forty-five states. Concerningly, OppFi has also indicated an interest in expanding its operations post-BNC Bank acquisition by offering so-called "earned wage access" programs (more accurately called payday loan apps), lines of credit, and small business lending.

OppFi's application to acquire a national bank came mere months after a very similar predatory lending nonbank applied to do the same. On January 28, 2026, Enova-a lender that charges up to 99.99% APR on its NetCredit bank partnership loans and up to 300% or higher on its state-licensed CashNetUSA loans-filed an application to acquire Grasshopper National Bank, to move the bank from New York to Utah, and to become a bank holding company.

However, on September 14, 2026, Enova withdrew its banking regulatory application, citing a lack of "clear standards for nonbanks that want to become banks"-and a slew of pushback from consumer advocates. In July, twenty state attorneys general sent a letter to the OCC, the Fed, and the FDIC, urging them to reject OppFi's and Enova's applications to enter the national banking system. They cited the ability of states to "historically detect[] dangers to consumers and the financial system before the full extent of the harm came to fruition," specifically highlighting their role in raising concerns about subprime mortgages in advance of the 2008 financial crisis. They wrote that states are "sound[ing] the alarm again" and urged the agencies to prohibit predatory lenders like OppFi and Enova from accessing our national bank ecosystem. One month prior, over 100 consumer, civil rights, and community organizations sent a letter to Congress urging opposition to both Enova's and OppFi's applications, followed by a separate letter from 123 civil rights, legal services, and community groups filing a comment opposing the OppFi application, specifically. Enova correctly changed course by abandoning its plans to acquire a national bank. We therefore write to urge that OppFi do the same.

Given OppFi's similarly structured predatory lending practices, paired with the mounting opposition it has received to date in regards to its application and Enova's appropriate decision to change course, we believe OppFi should withdraw its application to acquire a national bank, immediately.

Sincerely,