After two Fairfield County fintechs became the first to be chartered under Connecticut’s new “innovation bank” charter earlier this year, a third company is planning to take the same leap.
According to a notice posted by the state Department of Banking, fintech Moneycorp has applied to organize a bank, to be headquartered in Stamford.
Moneycorp’s hearing will be held Oct. 9.
The state’s new innovation bank charter lets companies that don’t take retail deposits be regulated and operate nation-wide without also being protected – and having to pay for – FDIC insurance. The charter also provides some exemptions to laws in other states, further reducing regulatory burden.
The charter has already attracted two new banks to the state, Stamford’s Banking Circle and Greenwich’s Numisma, co-founded by former Federal Reserve Vice Chair for Supervision Randal Quarles. The latter also recently became the first Connecticut-chartered bank to receive a Federal Reserve master account in May, which gives it access to the Fed’s “discount window” liquidity services.
Numisma opened its Greenwich headquarters last week, to praise from Gov. Ned Lamont, who indicated the charter is part of a plan to foster more financial services startups in the state.
“Fintech innovators realize that Connecticut offers a competitive landscape for their companies to grow and thrive in our state,” Lamont said in a statement. “I am excited to welcome Numisma Bank to Connecticut’s business community. This launch represents another step forward for Connecticut as a leader in financial services, showcasing the state’s ability to foster a supportive business environment that attracts cutting-edge companies like Numisma Bank.”