Credit Suisse Toronto Branch Asset Release

Summary#

• Credit Suisse AG, Toronto Branch says it will apply for an order to release the assets it holds in Canada under the Bank Act on or after March 6, 2024. Depositors or creditors can file an opposition with the Office of the Superintendent of Financial Institutions (Canada) by March 6, 2024.
• KOHO Financial Inc. plans to apply to create a Schedule I bank called KOHO Bank (English) / Banque KOHO (French). Objections can be sent to OSFI by April 18, 2024. This notice is a step in the application process, not a final approval.

What it does#

• Credit Suisse notice:

  • Says Credit Suisse AG, Toronto Branch will apply for an order authorizing the release of assets it keeps in Canada under the Bank Act.
  • Invites any depositor or creditor who opposes that release to send a written objection to the Office of the Superintendent of Financial Institutions (Canada) by March 6, 2024.

• KOHO notice:

  • Announces KOHO Financial Inc. intends to apply for letters patent to incorporate a Schedule I bank under the names KOHO Bank / Banque KOHO.
  • Says the proposed bank would offer deposit and lending products (for example, savings accounts, prepaid cards, and retail loans) to Canadian residents.
  • Invites written objections to OSFI by April 18, 2024 and notes the notice does not mean the bank will definitely be approved.

Who's affected#

• Credit Suisse item:

  • People or companies that hold deposits or are creditors of Credit Suisse AG, Toronto Branch in Canada.
  • If you think the proposed release of assets would hurt your claim, you are the intended audience for the opposition process.

• KOHO item:

  • Customers or potential customers of KOHO Financial Inc., and users of fintech banking products in Canada.
  • Competing banks and fintech firms who watch new entrants.
  • The public generally, because a new bank could change product options and fees.

Why it matters#

• Credit Suisse: Allowing a branch to release its Canadian assets could affect where and how depositors and creditors can recover money. People with accounts or claims may want to check their position and consider filing an objection by March 6, 2024.
• KOHO: If KOHO Bank is approved, Canadians could see another digital-first bank offering savings, prepaid card features, and loans. That can mean more choices, different fees, or new product features — but approval is not guaranteed and will follow the normal review process.