The Globe and Mail reports in its Wednesday, Oct. 2, edition that Koho Financial is raising $190-million in equity and debt to become a Schedule 1 Canadian bank. The Globe's Clare O'Hara and Sean Silcoff write that the new financing includes a $40-million equity raise and $150-million in debt to expand lending for buy-now-pay-later financing, offer lines of credit up to $15,000, provide travel insurance and introduce a rent reporting tool for credit building. Chief executive officer Daniel Eberhard stated that this financing will support the bank's licence application and help the company grow faster. Koho applied for a bank licence in 2022 and is currently undergoing a three-phase process under Canada's Bank Act to obtain approval. As part of this process, the Office of the Superintendent of Financial Institutions assesses applications and makes recommendations to the Minister of Finance, who has the ultimate responsibility for approving the incorporation of a federally regulated financial institution. Earlier this year, the company entered the second phase of the process to become a Schedule 1 bank, which is a wholly domestic institution in Canada required to take customer deposits.