Flex Bank has filed an application for an industrial bank charter in Utah, according to the Utah Department of Financial Institutions. The application, submitted on July 23, 2026, is currently pending review as the state sees a rise in interest for industrial banking licenses.
Industrial Bank Applications Pending
The application for Flex Bank, based in Lehi, is one of several active industrial bank charter applications currently being processed by state regulators. As of August 25, 2026, the Utah Department of Financial Institutions confirmed the application remains in pending status. This development follows a period of significant interest in Utah's industrial banking sector, which involves specialized regulatory frameworks under Utah Code.
Federal Deposit Insurance Review
The Federal Deposit Insurance Corporation (FDIC) is also reviewing applications for new deposit insurance. Data from the FDIC as of August 25, 2026, shows that Flex Bank is among several institutions seeking federal deposit insurance. Other pending applications in Utah include Albert Bank of Salt Lake City, Klarna Bank USA of Salt Lake City, and OpenReserve Bank, National Association of Salt Lake City.
The Chartering Process
The process for securing a new charter is a multi-phase endeavor involving both state and federal oversight. According to the Utah Department of Financial Institutions, the process includes a pre-filing phase, an assessment phase, a field investigation phase, and a determination phase. During the assessment phase, which begins upon formal submission, regulators strive to respond to de novo applications within 45 days.
Rigorous Regulatory Examination
In the field investigation phase, an examiner team reviews the application to determine if the proposal meets statutory approval factors under Utah Code Section 7-1-704(7). This evaluation includes a review of business plan prospects, the feasibility of forecasts for deposits and lending, capital adequacy analysis, and the quality of management. Examiners also examine the suitability of the institution's proposed policy framework and its ability to comply with various financial regulations.
Regulatory Leadership
The oversight of these institutions is led by Shaun Berrett, who serves as the commissioner of the Utah Department of Financial Institutions. Appointed by Governor Spencer J. Cox in March 2025 and confirmed by the Utah State Senate on April 15, 2025, Berrett has a 26-year career in regulation. Before becoming commissioner, Berrett served as the agency's Supervisor of Industrial Banks, overseeing one of the nation's largest portfolios of these unique institutions.
Utah Banking Framework
The industrial bank charter is a specific type of banking license regulated under Chapter 8 of Title 7 of the Utah Code. This differs from standard commercial bank charters or credit union charters. The Department of Financial Institutions works in tandem with federal agencies like the FDIC to reduce regulatory burden and improve efficiency for applicants, often using the Interagency Charter and Federal Deposit Insurance Application form.
Recent Banking Developments
While several applications are pending, other institutions have already successfully navigated the process. For instance, the Bank of Utah opened a branch in Lehi on July 14, 2026, after receiving approval on March 17, 2026. Additionally, the Bank of Utah opened a branch in Spanish Fork on July 13, 2026, following approval on September 10, 2025.
