OCC rejects Bunq US bank charter bid

The U.S. Office of the Comptroller of the Currency has rejected Dutch fintech Bunq’s application for a U.S. national de novo bank charter. The denial halts Bunq’s immediate plan to obtain a national banking license that would have allowed it to conduct deposit-taking and lending under direct federal supervision in the United States.

In its decision letter, the OCC cited significant supervisory and compliance concerns as the basis for turning down the application. The regulator’s findings focus on the bank’s readiness to meet U.S. regulatory standards and operate within the expectations applied to national banks.

Reports on the decision state that the OCC raised questions about how Bunq would be capitalized in the United States. The regulator also examined Bunq’s management experience with unsecured credit card products, an area seen as carrying elevated risk and requiring specific expertise.

In addition, the OCC questioned Bunq’s ability to operate safely and achieve profitability in the U.S. market. These concerns reflect the regulator’s assessment of the bank’s business model, risk controls and long-term financial outlook within the U.S. banking environment.

The denial removes the specific charter pathway Bunq was seeking to expand its activities in the United States. Without a national bank charter, the firm cannot proceed on this particular track to broaden its regulated banking footprint in the country.

However, the OCC’s decision does not preclude future applications. The issues raised in the decision letter outline areas Bunq would need to address if it chooses to reapply or seek other regulated routes for operating in the U.S. market.

Bunq has acknowledged the OCC’s decision and stated that it will address the regulator’s concerns. The company characterized the feedback as issues it intends to work through rather than an end to its U.S. strategy.

The firm says it will continue to pursue a U.S. banking presence, using the OCC’s comments to evaluate its next steps. Any renewed effort is expected to focus on strengthening capitalization plans, demonstrating relevant management experience and refining its approach to safe operations and profitability in the U.S.