Before Approving 100% APR Banks, Fed Must Hold Public Hearings

June 22, 2026 — Press Release

Unprecedented Bids Could Create the First National Banks Dedicated to Predatory Lending

WASHINGTON  – Today, more than 60 consumer, civil rights, labor, small business, legal services and community groups, and academics urged the Federal Reserve Board of Governors to hold public hearings and take a vote of the governors on the bids of two high-cost lenders, Enova International and Opportunity Financial (“OppFi”), to acquire national banks.

The Federal Reserve is currently reviewing the application of Enova International (which owns the CashNetUSA, NetCredit and OnDeck brands) to acquire Grasshopper Bank, and the Fed is expected to shortly receive OppFi’s application to acquire BNC Bank. If approved, the fintech lenders would become the first national banks dedicated to predatory lending, with rates from 100% to 160% APR or higher. 

“A public hearing and consideration at the Board level are justified given the unprecedented nature of the applications, the unresolved policy questions that they entail, and the significant public protest raised in response to two major non-bank lenders seeking to circumvent state interest rate limits,” the groups state. “We also request that the Board of Governors consider both applications and that consideration not be delegated to the regional reserve bank.”

The groups warn that the Enova and OppFi proposals are unprecedented on a number of fronts, as they would create the first national banks whose core business models focus on:

• Astronomical rates that could reach 100% to 160% annual percentage rates (APRs) or higher.
• Loans at rates prohibited by up to 45 states, depending on the size of the loan.
• Unaffordable loans with high charge-offs of 50% to 60%.
• High refinancing rates, further demonstrating the unaffordability of the loans.

“These applications are extremely controversial – 106 organizations signed a letter opposing allowing Enova and OppFi to become national banks,” said the groups. “Before the Board considers these unprecedented applications and makes a decision that could devastate consumers nationwide, it is incumbent on the Board to hear from the communities that will be impacted.”

Related Resources

• Press Release: Broad Coalition Urges Congress to Oppose Unaffordable 100%+ APR Bank Loans, May 7, 2026
• Press Release: Another 100%+ APR Bank Seeks Trump Administration Approval, April 29, 2026
• Press Release: Fed Urged to Reject Bank Application that Would Greenlight Enova’s 100% APR Loans Nationwide, April 23, 2026
• Issue Brief: Trump Administration Must Deny Enova’s Bid to Make 100% APR Loans In Every State, April 16, 2026
• Fact Sheet: Fact Sheet: State Annual Percentage Rate (APR) Caps for $500, $2,000, and $10,000 Installment Loans, Dec. 18, 2025