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Expert Analysis

Fintech-Bank Partnerships Hold Potential, But Tread Carefully

By Ellen Berge, Jonathan Pompan and David McGee (October 19, 2023, 5:42 PM EDT) -- A study in the Finance and Economics Discussion Series by the Federal Reserve Board on consumer lending found that financial technology lenders are able to take advantage of federal preemptions from state rate ceilings to lend profitably to higher-risk consumers in states with low rate ceilings to compete in these markets....

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