Fintechs provide speed and innovation, banks offer trust and stability, and together they deliver faster, smarter and secure financial services.
In 2025, fintechs and traditional banks are no longer competitors—they are collaborators, combining innovation and trust to deliver faster, smarter financial services.
Fintechs move really fast, build clever tools and understand digital behaviour. At the same time, banks move carefully, follow rules and hold years of trust. When the two meet, customers can get the benefits of modern technology and reliable financial protection. This new wave of partnership is changing how people save, spend and borrow around the world.
Why fintechs and banks need each other?
Fintech companies often face strict regulations, limited licensing, lower customer trust and smaller funding pools.
Partnering with a bank allows fintechs to overcome these barriers, accelerating product launches, expanding customer reach and ensuring legal compliance.
Meanwhile, banks face rising expectations from customers for faster, more convenient digital experiences.
Fintechs help banks modernise mobile apps, streamline payments, deploy AI-driven insights, and simplify paperwork. Together, they create financial services that are faster, smarter and more user- friendly.Teamwork makes banking simple for everyday people.
Fintechs and banks thrive together
Figure 1. Fintech and bank contributions to modern financial services
| Area | Fintechs offer | Banks offer |
|---|---|---|
| Speed | Quick updates, simple designs | Slow but steady improvements |
| Technology | AI, automation, app-first tools | Strong systems and secure networks |
| Trust | Growing, mainly with younger users | High trust from a long history |
| Rules | Need help with regulations | Fully licensed and compliant |
| Customer feel | Friendly, modern apps | Full-service support, branches |
| Money strength | Venture funding | Deep capital and stability |
Source: BankQuality
Real examples of partnerships around the world Across the globe, examples illustrate the effectiveness of these collaborations. In the United States, Apple and Goldman Sachs created the Apple Card. It was actually a fusion of Apple's design with Goldman's strength.
In the United Kingdom, Monzo and Wise work with licensed banks to offer protected deposits and cross- border services.
Singapore’s DBS bank partners with fintechs to use artificial intelligence (AI) for fraud alerts and cross- border payments. These cases demonstrate that when fintechs and banks align, innovation can coexist with regulatory compliance and financial stability.
Customer benefits from partnerships
Faster help: Fintech-style apps make it easy for users to open an account, send money, or check transactions in seconds.
More customised advice: AI tools spot patterns and help customers control their spending, save more, or plan bills payment.
Easier access to credit: Microloans, instant buy now, pay later (BNPL) approvals and simplified eligibility checks have made credit more accessible for freelancers and small business owners. Customers no longer have to choose between modern convenience and financial security because they can have both.
Challenges that slow down coexistence
Fintechs thrive on experimentation, while banks operate under controlled processes, which can slow decision-making. Data-sharing between partners must be transparent to maintain customer trust, and increased digital touchpoints raise cybersecurity risks. New rules in the US or Asia affect how fintech bank partnerships operate, especially in payments and lending. Still, a lot of experts agree that these challenges can be solved with good design and clear communication.
In 2025, the coexistence of fintechs and banks is no longer a hypothetical scenario—it is the new normal. By combining innovation and trust, they are building financial services that are faster, smarter and more human-centric. Customers globally benefit from clearer apps, smarter tools and more choices, demonstrating that partnership, rather than competition, is the future of banking.