American Lending Fairness Act of 2026, bicameral legislation that supports national lending framework, maintains banking parity and protects access to affordable credit

Washington, D.C. (February 12, 2026) – The American Fintech Council (AFC), the largest and most diverse industry association representing the largest responsible online lending companies and their bank partners, submitted a letter to House Financial Services Committee and Senate Banking Committee leadership expressing strong support for the American Lending Fairness Act of 2026. Introduced by Sen. Bernie Moreno (R-OH) and Rep. Warren Davidson (R-OH), the legislation ensures a strong and clear national lending framework, and rate parity between community and nationally chartered banks under the Depository Institutions Deregulation and Monetary Control Act of 1980 (DIDMCA), which enables interstate lending and encourages responsible innovation.

“Responsible bank-fintech partnerships increase access to safe and affordable credit options for hard-working American families. Through DIDMCA, Congress created a national framework to ensure community banks could compete on equal footing and serve consumers across state lines,” said Phil Goldfeder, CEO of the American Fintech Council. “Recent state attempts to opt out of DIDMCA are legally questionable and reduce access at a time when affordable credit is more important than ever. We applaud Senator Moreno and Congressman Davidson for introducing the American Lending Fairness Act to restore Congress’s original intent of strengthening the dual banking system and protecting families and small businesses from the harmful consequences of a fragmented, state-by-state regime.”

Congress enacted DIDMCA to ensure parity between state-chartered and nationally chartered institutions. This national framework enables community banks to partner with responsible fintech companies to expand access to transparent, affordable credit products across the country. However, recent efforts by certain states to opt out of Section 521 of DIDMCA disrupt this parity and create uncertainty for institutions operating across state lines. Federal banking regulators have cautioned that such opt-outs threaten the integrity of the dual banking system, impose significant operational challenges, and risk reducing credit availability for consumers and small businesses.

“DIDMCA has long ensured the regulatory clarity and consistency essential to preserving a functional national credit market,” said Ian P. Moloney, Chief Policy Officer at the American Fintech Council. “Allowing individual states to erode that structure through opt-outs introduces fragmentation, disadvantages community banks, and ultimately restricts access. Restoring certainty through legislative action will protect consumers and small businesses, and we applaud Sen. Moreno and Rep. Davidson for working to ensure continued access to safe, transparent, and affordable financial services.”

AFC has been at the forefront of defending responsible bank–fintech partnerships nationwide, leading coordinated efforts to oppose ill-advised and legally questionable state opt-out initiatives in Colorado, Minnesota, Rhode Island, and Oregon. In each instance, AFC mobilized member companies, engaged policymakers and regulators, built multi-state coalitions, and provided legal and policy analysis to ensure that innovation in financial services remains grounded in federal law and responsible oversight.

When Colorado advanced an unprecedented expansion of its DIDMCA opt-out authority, AFC together with the National Association of Industrial Bankers (NAIB) and the American Financial Services Association (AFSA), filed a federal lawsuit challenging the state’s overreach. As a result of this leadership, the coalition secured a preliminary injunction blocking Colorado’s action while the case proceeds through the courts.

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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