PayPal now wants to become a bank in the U.S. The company has filed the required applications with the Utah Department of Financial Institutions and the Federal Deposit Insurance Corporation to create PayPal Bank, which will be a certified industrial credit company headquartered in Utah.
PayPal says this would strengthen its business and improve its efficiency, enabling it to "better support small business growth and economic opportunity across the US," the Telegraph reports.
In addition to offering loans to small businesses, PayPal Bank would offer customers interest-bearing savings accounts, and would also become a member of card networks in the US “to complement processing and settlement activities through existing banking relationships”.
Since 2013, PayPal says it has “provided access to over $30 billion in credit and working capital to more than 420,000 business accounts worldwide,” and this proposed bank would allow it to “more efficiently deliver business lending solutions to small businesses in the U.S., reducing reliance on third parties and strengthening PayPal’s business.”
If authorities approve the establishment of PayPal Bank, customer deposits would be eligible for FDIC insurance coverage. /Telegraph/
Source of information @Telegrafi: Read more at:the world today www.botasot.al
