In Q1 2025, a clear pattern emerged: digital banks are embedding credit deeper into daily consumer life and small business operations through hyper-targeted and behavior-driven models that expand access without increasing friction:

• Retail Credit Gets Hyper-Contextual: Revolut and Tonik are embedding BNPL directly into retail checkout journeys via partnerships with merchants like Robinsons Retail. This is about turning credit into a checkout feature that drives sales for partners while boosting user engagement.
• Instant Credit Delivery Becomes Table Stakes: Chime’s instant loan rollout, alongside UnionDigital’s JuanHand alliance, shows how digital banks are competing on disbursement speed and accessibility—targeting underbanked consumers who need funds in minutes, not days.
• SME Lending Goes Deep into Ecosystems: Lunar–Froda and GoTyme–Danabijak-Olsera are building credit offerings into merchant and POS ecosystems, creating alternative distribution channels for SME loans—while Allica Bank ups its game by increasing loan-to-value ratios to attract high-growth business customers.