Sezzle Inc., based in Minneapolis, has submitted an application to the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation to establish a national bank. If approved, the bank intends to offer a variety of financial products, including deposit accounts, checking and savings accounts, and credit options.
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Charlie Youakim, Chief Executive Officer and Executive Chairman of Sezzle, stated that applying for a national bank charter demonstrates the company's dedication to adhering to high standards of federal oversight. He emphasized that such a charter would enable Sezzle to provide a wider range of banking services tailored to consumers who prefer buy-now, pay-later (BNPL) solutions and digital banking.
The proposed Sezzle Bank aims to cater to digitally savvy consumers, particularly those new to credit who typically avoid traditional credit products like credit cards. The bank's objective is to offer diverse lending options.
According to Sezzle, the bank would be subject to continuous oversight and examinations by the Office of the Comptroller of the Currency, focusing on safety, consumer compliance, anti-money laundering, and fair lending practices. Furthermore, Sezzle plans to apply for bank holding company status to streamline supervision by the Board of Governors of the Federal Reserve System.
This filing marks the initial step in Sezzle's formal charter application process. The company reassured its customers that there would be no immediate changes and that it would maintain collaboration with its existing partners.