Banking Dive reports that among the Biden administration’s banking and fintech priorities, credit underwriting and fair lending are likely to figure prominently, though there are other areas that may impact how banks, startups, and investment companies do business.

Why should we care?
Alternative data is a likely area of focus, especially in a context where student loans and mortgages have been paused during the pandemic. Cash flow underwriting is often seen as a more inclusive way to assess creditworthiness over traditional credit scores that typically pull in a more restricted set of data points. “It’s an area where fintechs really have been the leaders in for the last five years, and large financial institutions have always done with small businesses but not done as frequently with consumers," John Pitts, policy lead at Plaid, told Banking Dive.

Meanwhile, fair lending could also also be an important priority given that the Obama administration actively enforced anti-discrimination laws. On financial inclusion, regulators could assess how fintechs can help accomplish the new administration’s goal of expanding access to financial services, noted Dan Quan, a managing partner at Banks Street Advisory. And while the Securities and Exchange Commission and the Department of Labor are expected to re-examine regulations affecting investment advice for retail investors, it’s too early to make any bets, wealth management analyst Jasmin Sethi told TheFR.