Proposal would improve transparency, streamline supervisory information sharing, and strengthen remediation efforts across the banking ecosystem

Washington, DC (June 26, 2026) – The American Fintech Council (AFC), the largest industry association representing both responsible fintech companies and innovative banks, supports the Federal Deposit Insurance Corporation’s (FDIC) Notice of Proposed Rulemaking to update its regulations governing the disclosure and use of confidential supervisory information (CSI). The proposal would clarify the use and disclosure of nonpublic supervisory information, establish a more structured framework for information sharing, and update longstanding agency procedures.

“The FDIC’s proposal is a constructive step toward modernizing supervisory practices to reflect the realities of today’s banking system,” said Phil Goldfeder, CEO of the American Fintech Council. “Greater clarity around the appropriate sharing of supervisory information will help institutions address regulatory concerns more efficiently and improve coordination between banks and the fintech partners responsible for remediation. We thank Chairman Hill for his continued pragmatic and collaborative approach to modernizing agency frameworks and procedures.”

AFC supports the proposal’s efforts to improve consistency and transparency across the supervisory process by clarifying the treatment of privileged supervisory materials, updating disclosure procedures, and providing clearer standards for the use and sharing of confidential information. These changes would help institutions and their service providers respond more effectively to supervisory findings, support timely remediation efforts, and strengthen communication throughout the examination process.

“Clear, consistent standards for confidential supervisory information are critical to making supervision work as intended in a modern, partnership-driven banking system,” said Ian P. Moloney, Chief Policy Officer of the American Fintech Council. “By providing a more structured and transparent framework, the FDIC is helping ensure that banks and their partners can respond to supervisory expectations in a timely and coordinated way, while maintaining the safeguards that protect the integrity of the supervisory process.”

This effort builds on AFC’s longstanding engagement on modernizing confidential supervisory information (CSI) practices. In a January joint comment letter, AFC and Independent Community Bankers of America (ICBA) urged the FDIC, Federal Reserve, and OCC to align CSI definitions across agencies and clarify rules for sharing narrowly scoped supervisory information with fintech partners and service providers supporting remediation and operations. The FDIC’s proposed rulemaking seeks to address these concerns by clarifying and modernizing the CSI framework to improve consistency and transparency while preserving strong confidentiality safeguards. AFC intends to provide comment on the proposed rule.

A standards-based organization, the American Fintech Council (AFC) is the largest and most diverse trade association representing financial technology (fintech) companies and innovative banks. On behalf of over 150 member companies and partners, AFC promotes a transparent, inclusive, and customer-centric financial system by supporting responsible innovation in financial services and encouraging sound public policy. AFC members foster competition in consumer finance and pioneer products to better serve underserved consumer segments and geographies.

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