The Office of the Comptroller of the Currency (OCC) has denied Wise’s application to charter a national trust bank, finding that it “presents significant supervisory and compliance concerns.” The decision, dated July 21, 2026, and published as Corporate Decision #1381, halts, for now, the London-based payments group’s plan to open a bank subsidiary, Wise National Trust, in Austin, Texas. Wise disclosed the denial on July 24, and its shares fell as much as 11% during the session.
The regulator’s reasoning turns on anti-money laundering compliance, and it reaches beyond the proposed bank to the group behind it. Wise says it will file again, this time under the GENIUS Act, the federal law on payment stablecoins. For other payment companies and stablecoin issuers seeking federal charters, the decision sets out how the OCC weighs an applicant’s compliance history.
A charter to cut reliance on correspondent banks
A national trust bank holds a federal charter to provide fiduciary and custody services. Unlike a conventional deposit-taking bank, it is built around that fiduciary business, and its deposits are not insured by the FDIC. The application was sponsored by Wise US Holdings, the group’s US holding company, and covered three lines of business:
- Stored value accounts with debit cards, the multi-currency accounts Wise offers to US customers.
- Payment processing for its direct customers, its domestic and foreign affiliates, and third parties, including other financial institutions.
- Fiduciary services for holders of those multi-currency accounts and for Wise US.
The decision spells out the business case. Wise US Holdings currently operates in the US through numerous correspondent banking relationships, the OCC notes. A bank of its own, with a potential Federal Reserve master account, “is expected to benefit Wise’s future growth and enable its U.S. operations to scale efficiently.”
OCC points to AML/CFT failings across the group
The OCC relied on 12 CFR 5.13(b), which allows it to deny an application “if a significant supervisory or compliance concern exists,” and on the chartering criteria in 12 CFR 5.20(f): organizers familiar with national banking law, competent management and board, sufficient capital, a reasonable prospect of profitability, and safe and sound operation. It found the application fell short on several counts.
- The application did not show that the bank would comply with AML/CFT laws. It would have relied heavily on the programs of Wise US and other group entities, whose deficiencies had not been fixed.
- The organizers did not adequately address key deficiencies in the AML/CFT risk management program they proposed.
- A bank faces heavier AML/CFT requirements than a money services business, and the OCC found that Wise US has a record of failing to comply with the rules that already apply to MSBs.
- The proposed management and board did not show sufficient experience with the fiduciary activities of national banks, which are governed by 12 CFR 9.
Wise plans a second bid under the GENIUS Act
Wise is not walking away. “We plan to submit a new application for a national trust bank charter under a GENIUS Act framework,” the company said, adding that it has informed the OCC. Since the original filing, it says, “we have strengthened our local U.S. program, enhanced our investigation and reporting processes, improved the integrity of the data we collect from our customers and increased resourcing for our local compliance program.”
The OCC left that door open. “The denial of the Application does not prohibit the filing of a de novo charter application in the future,” it wrote, citing OCC Bulletin 2026-27 on its filing decision process, dated June 17, 2026. Wise can also appeal to the agency’s ombudsman under 12 CFR 5.13(f). Any later application, the OCC added, will be expected to satisfactorily address the reasons for this denial.
The OCC judges the parent, not just the bank
Wise’s US business is unaffected. It continues to operate under money transmitter licenses in 48 states and four territories, alongside more than 80 licenses worldwide. The signal to the market is elsewhere. For a fintech, a trust bank charter still depends on the applicant’s compliance record, and when the bank would lean on its parent’s controls, the OCC assesses the maturity of the whole group, not just the proposed subsidiary.
That lesson applies to similar applications from cross-border payment companies and stablecoin issuers. Three things to watch: the timing of Wise’s new filing, the outcome of any appeal to the ombudsman, and how the OCC handles the next applications built on the stablecoin framework.