Fintech companies that offer online banking services can be dangerous and cause users to lose their money, Sen. Sherrod Brown (D-Ohio), chairman of the U.S. Senate Committee on Banking, Housing, and Urban Affairs, warned in an interview with Business Insider.
Users should be wary about fraud, privacy breaches, and hidden fees while using fintech services, Brown pointed out. “Fintech companies that want to act like banks—but without the consumer protections and safeguards that actual banks must adhere to—put people’s hard-earned money at risk,” he said.
