The news
The OppFi bank deal is facing pressure from Capitol Hill. Senators Elizabeth Warren (D-MA) and Chris Van Hollen (D-MD) sent OppFi (OPFI) a letter on September 30, 2026, urging the nonbank lender to withdraw its application to acquire BNCCORP and its subsidiary, BNC National Bank, Banking Dive reported on October 2, 2026.
OppFi agreed in April 2026 to buy BNCCORP in a cash-and-stock deal valued at $130 million, Banking Dive reported at the time. Federal Reserve records show OppFi filed applications on June 27, 2026, and the Fed's public file lists information requests, processing extensions, four sets of public comments and OppFi's responses through September 18.
In the letter, the senators described OppFi's model as built on predatory lending, pointing to personal installment loans with annual percentage rates as high as 195%. They alleged a charge-off rate above 55% and cited a 2021 lawsuit by the District of Columbia attorney general alleging OppFi's underwriting expected up to one third of borrowers to default. They also alleged the company pushes borrowers to refinance and extend their debt.
A company spokesperson disputed those figures, as reported by Banking Dive. The spokesperson said the average loan lasts about four months and that annualizing quarterly charge-offs overstates losses roughly threefold, putting lifetime charge-offs at 18% to 25% over three years. OppFi argued that bank ownership would place its business under rigorous federal oversight.
The letter is not a regulatory decision. A senator cannot block a bank acquisition directly; the applications sit with the federal banking agencies.
The numbers
- Deal value (per Banking Dive)
- $130 million
- Top loan APR cited by senators
- 195%
- Charge-off rate alleged by senators
- Above 55%
- Lifetime charge-offs per OppFi
- 18%-25%
- State AGs challenging the deals (July 2026)
- 20
Why CEOs should care
For fintech boards weighing a bank purchase, this is a reminder that the approval process is now public and political. The Fed posts application files, comments and responses, and lawmakers can use them. Ask management: what is our plan if a senator or a coalition of attorneys general targets the deal, and how long can we afford the approval to drag on?
For CFOs and investors, the cost of charter-by-acquisition is not just the price of the bank. Extensions, information requests and public comments add months. Model a delayed or failed approval as a real scenario, with break fees and opportunity costs included.
For bank partners and compliance leaders, the dispute over how to measure charge-offs shows how metrics can be framed against you. Have a clear, defensible explanation of loss rates, pricing and refinancing practices ready before a regulator or lawmaker asks for it.
The bigger picture
Buying a small bank has become a shortcut for fintech lenders that want a charter without building one. But Enova ended its bid to acquire Grasshopper Bank in September 2026, and in July 2026, 20 state attorneys general challenged both the Enova and OppFi deals, according to Banking Dive. They alleged nonbanks partner with banks to get around state usury caps, which sit at 36% in most states.
What’s next
Watch the Federal Reserve, the Office of the Comptroller of the Currency and the FDIC, which received OppFi's applications. Any further information requests, extensions or a decision will appear in the public record, and OppFi's response to the senators will signal whether it intends to press ahead.
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