Banking regs issue guidance on risks posed by bank-fintech relationships | News Brief

Three federal banking regulators issued guidance on the risks posed by the use of third-party financial technology firms (fintechs) to deliver bank deposit products and services to customers.

The Federal Reserve Board, the Federal Deposit Insurance Corporation (FDIC), and the Treasury Department’s Office of the Comptroller of the Currency issued a joint statement Thursday on fintech-bank partnerships, which also provided financial institutions with best practices to manage risks.

In addition, the regulators issued a request for information for financial institutions to describe the types of banking products and services that fintechs provide.