Revolut Applies For US Banking License

Revolut, a London-based fintech unicorn, publicly announced on Monday that they are kicking off plans to apply for a bank charter in the US.

On the day which marks the first anniversary of its US launch, the company submitted a draft application with the Federal Deposit Insurance Corporation (FDIC) and the California Department of Financial Protection and Innovation,  which is the first of the many steps that makes up the banking license application process.

Nik Storonsky, co-founder and CEO of Revolut, said in a statement: “a US banking license would ultimately enable us to provide US customers with all the essential financial products and services they can expect from their primary bank including loans and deposits. We’re on a mission to build the world’s first global financial superapp, and pursuing a US banking licence is an integral part of the journey.”

One of Europe’s biggest fintech success stories is preparing to provide banking services in America.

Revolut was granted an EU banking license in Lithuania in December 2018, which permits it to offer banking services in Central Europe. It applied to the FCA and the Prudential Regulation Authority for a UK banking license in January.

The startup also plans to launch its business account service in all of the 50 states in the United States. This service makes it possible for corporate bodies to transfer up to 29 currencies at the interbank exchange rate.

Since its launch in the UK in 2015, Revolut has accumulated a customer base of over than 15 million across nearly 40 different countries. Its flagship products include an app-linked debit card which lets users pay low charges to send different currencies at the interbank exchange rate. Revolut is only one of the fintech firms who are trying to obtain bank charters in the US. Just this February, Brex also announced that it would apply for a bank charter in Utah, while Varo Bank obtained a license last summer.