Sezzle applies to the OCC for a national bank charter and to the FDIC for deposit insurance

Sezzle (NASDAQ: SEZL) has filed an application with the OCC to charter a national bank, Sezzle Bank, N.A., and applied to the FDIC for deposit insurance. The company announced the filing on 22 October.

If approved, Sezzle Bank would offer FDIC-insured deposit accounts, checking and savings accounts and credit products, focused on digitally native consumers, including people new to credit. Sezzle will also apply to become a bank holding company supervised by the Federal Reserve. CEO Charlie Youakim said a charter would let it offer a broader set of products under the same federal supervision as every national bank.

There is no change for customers, and Sezzle continues to work with its existing lending partners. Approvals are not guaranteed, and the review by the OCC, FDIC and Federal Reserve is expected to take 12 to 18 months.

The read: after Ramp and Zaria, a BNPL provider joins the queue for a federal charter.