Ford and GM get FDIC approval to open their own banks
By Justin Ho
The Federal Deposit Insurance Corporation recently announced that it accepted applications to set up deposit insurance for new banks created by automakers Ford and GM. Ford Credit Bank and GM Financial Bank are planning to start offering online savings accounts, along with auto loans. Banks that are owned and operated by corporations — also known as industrial banks — aren’t all that common in the U.S. There are currently about a couple dozen of them, according to the FDIC. Industrial banks operate basically the same way as traditional banks: “They take deposits and make loans,” said Karen Petrou, managing partner at Federal Financial Analytics. She said industrial banks are also eligible for FDIC insurance, which backs deposits up to $250,000. Petrou said when a bank can provide that safety, it doesn’t have to pay as much interest to its depositors. “And the lower you can drive your funding costs, the lower you can drive your lending costs, and the more competitive you get,” she said. Auto companies have plenty of reasons to offer competitive loans right now.
https://www.marketplace.org/story/2026/01/23/ford-and-gm-get-fdic-approval-to-open-their-own-banks