Pathak: Regulators hold sponsor banks liable for fintech partner compliance failures
Sanket Pathak · Founding Stories: Synapse · Jul 12, 2019 · at 21:32
Synapse founder Sanket Pathak details regulatory risks and accountability in sponsor bank and fintech startup partnerships.
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“The bank bears the risk for the primary regulators. Now we've seen precedent being set where CFPB goes directly to fintech companies and also finds them, but mostly what happens is your primary regulator is going to knock on your door, you're being the bank's primary regulator”
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