PayPal Seeks FDIC Approval to Offer Loans and Savings Accounts

PayPal has applied to create PayPal Bank, aiming to offer small business loans and potentially interest-bearing savings accounts. 

The plan is under review by the FDIC and Utah regulators. Shares rose 1.5% after hours on the news. 

Despite 7% revenue growth last quarter, PayPal stock is down about 29% in 2025, lagging the broader market.

PayPal seeks U.S. approval to form bank, offer small business loans