F.D.I.C. Says Banks Need to Keep a Record of Their Fintech Customers

Banks holding customer funds for money management apps should keep track of customers’ identities and balances, the agency says.

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Martin Gruenberg is seated at a long table with a microphone. A row of people and cameras are behind him.
Martin Gruenberg, chair of the Federal Deposit Insurance Corporation, on Capitol Hill in May. Credit…Kevin Dietsch/Getty Images
Emily Flitter

By Emily Flitter

Sept. 17, 2024

When a banking software company collapsed this spring, thousands of people keeping cash in online money management apps found themselves cut off from their own money for months. On Tuesday, the Federal Deposit Insurance Corporation proposed new rules designed to prevent that from happening again.

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