Online lender SoFi Technologies has received approval from US regulators to become a bank holding company.
The Office of the Comptroller of the Currency and the Federal Reserve have approved SoFi's applications to become a bank through its proposed acquisition of Golden Pacific Bancorp.
SoFi agreed to buy the Californian community bank for $22.3 million last year specifically to help it obtain a bank charter. That acquisition is now set to close in February.
SoFi started life as a student loan financing outfit but in recent years has been expanding aggressively, most recently launching a credit card. It wants the bank charter to enable it to accept deposits and make loans that use its member deposits.
The firm says it will contribute $750 million in capital and pursue its national, digital business plan while maintaining Golden Pacific's community bank business and footprint, including three physical branches.
Anthony Noto, CEO, SoFi, say: “With a national bank charter, not only will we be able to lend at even more competitive interest rates and provide our members with high-yielding interest in checking and savings, it will also enhance our financial products and services to ensure they efficiently meet the needs of our members, business partners, and communities across the country, while continuing to uphold a high bar of regulatory standards and compliance."