nonbank

noun

non·​bank ˌnän-ˈbaŋk How to pronounce nonbank (audio)
often attributive
: a business that is not an officially established bank but offers many similar services

Examples of nonbank in a Sentence

Recent Examples on the Web New regulations potentially mandating higher capital requirements will also force smaller banks to tighten their belts, cutting down on their margins and creating opportunities for private credit or nonbank lenders such as Rocket Mortgage. Dylan Sloan, Fortune, 16 May 2024 This includes banking-as-a-service platforms, where a sponsor bank allows a nonbank to tap into its regulated financial infrastructure. Paul Davis, Forbes, 20 Feb. 2024 The rise in rates was especially impactful on Rocket as the traditional strength of its nonbank mortgage-lending business model is mortgage refinancings. Detroit Free Press, 28 Feb. 2024 The growth rate of BaaS sponsor banks has slowed, though those that remain committed (and have sound policies and procedures) should benefit since many nonbanks need sponsors. Paul Davis, Forbes, 20 Feb. 2024 During this time, contraction in the Fed’s reverse-repo deposit facility for nonbank financial institutions has produced a flow of funds out of the Fed and back into the financial markets, which has offset the Fed’s quantitative tightening that removes liquidity from the markets to the Fed. Andrew Stuttaford, National Review, 9 Dec. 2023 Unlike banks that fund their loans through their deposits, BNPL players that offer small loans and installments to shoppers need to get that money from the market, as do other nonbank financial-technology companies. Telis Demos, WSJ, 9 Nov. 2023 The Financial Stability Oversight Council, an interagency panel of financial regulators, voted to adopt new rules on Friday that streamline the council's ability to designate nonbanks as systemically important. Andrew Duehren, WSJ, 3 Nov. 2023 At the same time, while lending is being limited by high-interest rates and risks, some banks and nonbanks are looking for ways to support their clients through subsidized loans. Jon Stojan, USA TODAY, 18 July 2023

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'nonbank.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1935, in the meaning defined above

Time Traveler
The first known use of nonbank was in 1935

Dictionary Entries Near nonbank

Cite this Entry

“Nonbank.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/nonbank. Accessed 25 May. 2024.

Legal Definition

nonbank

adjective
non·​bank
ˌnän-ˈbaŋk
: being, done by, or involving some entity other than a bank
nonbank lenders
a nonbank depositor
nonbanking adjective
Last Updated: - Updated example sentences
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