Similar Posts
CFPB Faces Backlash for Cancelling Open Banking Rule Crucial to FinTech Competition
The Consumer Financial Protection Bureau (CFPB) faces criticism from the Financial Technology Association (FTA) for planning to revoke the 1033 open banking rule, which allowed consumers to share their financial data with third-party providers. This move is seen as a concession to traditional banks, undermining consumer rights and competition. The FTA’s CEO, Penny Lee, condemned the decision, claiming it benefits Wall Street banks at the expense of consumer control over finances. This rollback is part of a broader trend of the CFPB retreating from consumer protection, raising concerns about the future of open banking and innovation in financial services.
Pagaya Secures $1 Billion for Point-of-Sale Lending via Innovative POSH Securitization
Pagaya Technologies has launched a new securitization program, the Pagaya Point of Sale Holdings Trust (POSH), aimed at enhancing its presence in the point-of-sale (POS) lending market. The initiative has secured over $1 billion in funding capacity, with the first deal, POSH 2025-1, being a $300 million AAA-rated transaction involving over 20 investors. This program will increase Pagaya’s lending capacity, focusing on short-term loans for borrowers with credit scores above 600, while maintaining high approval rates. Co-founder Sanjiv Das and CEO Gal Krubiner emphasized the significance of POSH in driving growth and solidifying Pagaya’s leadership in structured finance.