OppFi Bank Deal Could Bring 195% APR Loans Nationwide

OppFi could bring loans with APRs as high as 195% to borrowers nationwide if federal regulators approve its proposed acquisition of BNC National Bank, consumer advocates warn.

A coalition of 123 consumer groups, civil rights groups, legal services organizations, community groups, and academics, including the National Consumer Law Center, is urging federal regulators to deny the acquisition.

OppFi is seeking to acquire BNCCORP and its subsidiary, BNC National Bank, and become a bank holding company. In general, a national bank can export the interest rate rules of its home state to borrowers living elsewhere.

“The charter would become a vehicle for predatory lending outlawed in nearly every state.” — A coalition of 123 consumer and civil rights groups

The transaction requires approval from BNCC shareholders, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Federal Reserve.

The coalition wants public hearings on the bank application and more information from OppFi about the impact of its loans on struggling families. The groups also want regulators to consider OppFi’s lending record and deny the application.

OppFi facilitates small installment loans originated by partner banks for borrowers who may not qualify for traditional credit.

The High APRs and Charge-Offs Behind the Opposition

Interest rates at OppFi typically reach 160% and climb as high as 195%, according to the National Consumer Law Center’s detailed comments to regulators. Those rates would violate state interest rate limits in up to 45 states if charged by a nonbank lender, depending on the loan size, according to the letter.

“There is an enormous gap between the destructive, usurious rates that OppFi charges and the top rates allowed by nearly every state,” the groups wrote to federal regulators. “OppFi’s lending program is risky, unsafe and unsound.”

The coalition submitted its comments to the FDIC, OCC, and Federal Reserve on July 31.

OppFi recorded a 55.5% annualized net charge-off rate in the first quarter of 2026, according to the coalition’s analysis. OppFi says its lifetime charge-off rate, calculated using total dollars originated, is between 20% and 25%.

The coalition says refinancing has generated as much as 75% of OppFi’s pre-tax income, citing allegations in a 2021 lawsuit filed by the District of Columbia attorney general. About half of OppFi’s customers refinance, sometimes multiple times within two or three months of taking out their loans, according to the coalition.

OppFi Defends Its Lending Model

OppFi provided the following statement:

“OppFi’s mission is to expand access to credit for hard-working consumers who are overlooked by traditional financial institutions. We currently serve our customers with a highly compliant, legally robust, and consumer-friendly product.

“Moving this model into a regulated banking infrastructure will enable us to pair our proven product with extensive federal oversight, further strengthening our commitment to transparent and fair consumer lending.

“We look forward to engaging constructively with regulators as they review our application.”

Critics Warn the Bank Charter Could Face Backlash

The coalition warned that approval of OppFi’s application would deeply injure and threaten the national bank charter.

“The charter would become a vehicle for predatory lending outlawed in nearly every state. National banks as a whole could also face a backlash that amplifies calls to pass legislation to end the preemption powers of national banks,” the coalition wrote.