In a meeting with Mark Pearce, the Director of Consumer Protection at the FDIC (Federal Deposit Insurance Corporation,) and the Online Lenders Alliance (OLA) President and CEO, Lisa McGreevy, the FDIC made its position on payday lenders clear.  They are not interested in preventing legal payday loan lenders from doing business, but they want to cut down on the illegal entities taking advantage of the system.  OLA supports the FDIC's efforts to crack down on the illegal payday loan operators. 
OLA lenders response to the meeting is printed below:

September 3, 2013

Dear Mr. Pearce:
 Thank you for taking the time to meet with the Online Lenders Alliance today. We especially appreciate that you scheduled this meeting so quickly and during the lunch hour.

 We appreciate the effort that the FDIC continues to undertake to ensure that banks mitigate risks in connection with third-party relationships, and we support the FDIC's work in that regard. As we discussed, the guidance that the FDIC issued in 2012, combined with the guidance that FINCEN, and other regulators have issued, show the path forward for banks to process ACH transactions for consumers who seek out online loans.

 We are also gratified to learn that the FDIC does not prohibit banks from processing payment transactions for online lenders, and has not issued any formal or informal guidance - verbally or in writing - that would lead banks to believe that they should not provide banking and payments services to the online lending industry.

 I want to assure you that OLA members are in this business for the long term. Our members offer products that meet the demonstrated need of consumers for short-term credit. As you know from the FDIC's own reports, approximately 65 million Americans face credit access problems and lack sufficient income to contend with a short-term emergency. OLA members see this need in the thousands of applications they receive every day. We strive to serve these consumers with innovative and affordable credit products with easily understood terms and payment options.

 OLA and its members remain committed to the identification, management and mitigation of risks in the payments system, as well as regulatory compliance, adherence to all applicable law, development of best practices, the OLA Accreditation program and any other areas you might suggest to ensure the legitimacy of online lending transactions.