Opening a Bank Account for Fintechs Dealing in Payments, Lending, or Crypto

Fintech companies operating in payments, digital lending, or crypto services face a unique challenge when it comes to opening a business bank account. Despite being regulated and licensed, many fintechs struggle to find banking partners willing to onboard companies in these sectors, largely due to perceived risk, compliance burdens, and outdated onboarding policies.

Why It’s Harder for Some Fintechs to Open Bank Accounts

Even when licensed, fintech companies in high-risk verticals—such as payments, digital lending, and cryptocurrency services—often face extended due diligence procedures or automatic rejection when applying for traditional bank accounts.

Reasons Banks Consider These Fintechs High-Risk:

🔍 Regulatory scrutiny: Fintechs are subject to rapidly evolving regulations, especially those handling crypto or cross-border payments.
💸 Financial crime concerns: Banks worry about money laundering, fraud, and sanctions exposure.
🧾 Complex compliance models: Many fintechs use third-party service providers, making onboarding riskier in the eyes of compliance teams.
💼 Business model opacity: If the fintech doesn't clearly explain its operations, bank compliance teams may see it as a red flag.

What Types of Fintechs This Applies To

Fintechs that fall into the following categories often face stricter onboarding hurdles:

💳 Payment Institutions & Electronic Money Institutions (EMIs)

Examples: Digital wallets, payment gateways, merchant acquirers.
Key Needs: Safeguarding accounts, client money segregation, SWIFT/SEPA connectivity.

💰 Digital Lenders & BNPL Startups

Examples: Online consumer and SME lending platforms, Buy Now Pay Later providers.
Key Needs: Client fund disbursement accounts, collection accounts, treasury management.

₿ Crypto-Focused Fintechs

Examples: Exchanges, wallets, crypto brokers, and DeFi-related platforms.
Key Needs: On-ramp/off-ramp banking, stablecoin support, fiat settlement accounts.

How to Open a Business Bank Account for a Fintech Dealing in Payments, Lending, or Crypto

1. Prepare a Detailed Business Overview

✔ Clearly explain your business model, regulatory license, and target market.

✔ Include details on products, services, and how funds flow between parties.

Banks need to understand exactly how your business operates to assess risk.

2. Show Proof of Licensing and Regulatory Oversight

✔ Provide copies of your regulatory license (EMI, PI, VASP, or Lending License).

✔ Be prepared to demonstrate compliance with local AML, KYC, and CTF regulations.

✔ Submit your compliance policies and procedures during onboarding.

The stronger your compliance framework, the more comfortable the bank will feel.

3. Select the Right Type of Bank Account

Accounts Fintechs May Need:

Operating Account – For company expenses and payroll.
Safeguarding Account – Required by regulators for EMIs and PIs to hold client funds.
Settlement Account – Used to process incoming and outgoing payment flows.
Segregated Client Account – Common for lending firms and custodial crypto services.

Some banks offer packages tailored specifically to regulated fintechs—ask for fintech-specific solutions.

4. Choose a Bank That Onboards Fintechs

Many traditional banks avoid fintechs entirely. Instead, consider:

✔ Fintech-Friendly Banks – Some institutions specialize in onboarding regulated fintechs.

✔ Banking-as-a-Service (BaaS) Providers – Offer API-based infrastructure for fintechs needing scalable solutions.

✔ EMIs with IBAN Issuance – Some electronic money institutions offer banking-like services suitable for client fund management.

If you would like to get an up to date list of best fintech-friendly banks, fill out our contact form with your details and we will send it to you by email.

Examples of fintech-friendly jurisdictions:

Lithuania (home to many EMIs and PSPs)
UK & Ireland (strong fintech ecosystems)
Switzerland & Liechtenstein (crypto-friendly regulations)

5. Highlight Your Risk Controls and AML/KYC Processes

✔ Share your AML policy, risk matrix, onboarding flow, and monitoring systems.

✔ Highlight any third-party compliance providers (e.g. Chainalysis, ComplyAdvantage).

✔ If you're a crypto business, show your source of funds/source of crypto processes.

Banks will often ask about your approach to PEP screening, sanctions filtering, and transaction monitoring. Be ready.

Tips for Successfully Finding a Banking Partner for Your Fintech

✅ Start early – Banking applications can take weeks or months.
✅ Avoid vague answers – Be transparent about your product, target markets, and users.
✅ Use a banking consultant – If you face repeated rejections, consider specialized consultants who know which banks are onboarding your type of fintech.
✅ Have backups – Maintain relationships with more than one provider, especially for operational resilience.
✅ Consider EMIs as stepping stones – If you can’t get a traditional bank account, using EMIs or fintech platforms may help until you're larger.

Conclusion

Opening a business bank account for a fintech company in payments, lending, or crypto is not always easy—but it’s far from impossible. With the right preparation, compliance documentation, and banking partner, even high-risk fintechs can find the banking infrastructure needed to grow.