Chime launched in 2012 with a simple premise: what if people actually liked their bank? Founded by Chris Britt and Ryan King, Chime offered a mobile-first experience, no fees, and an unusually friendly tone. A breath of fresh air in a stale industry. But instead of getting a banking license, Chime cleverly partnered with existing chartered banks. It’s now one of the most recognized neobanks in the U.S., with over 7 million monthly active users and $1.67 billion in revenue reported in 2024.

“The trust levels that mainstream Americans have in banks is extremely low, and that was part of the opportunity that we pursued.”

-Chris Britt, Co-Founder and CEO of Chime (2023)

Of course, the road to becoming everyone’s “non-bank bank” wasn’t without its potholes. Let’s rewind through the highs, lows, and strategic pivots that shaped Chime’s journey.

Dependency on Banking Partners

In the early years, Chime leaned heavily on partners like The Bancorp Bank and Stride Bank to provide core banking services. This gave them a fast go-to-market route, but also meant they had limited control when things went wrong; which, unfortunately, they sometimes did.

How they navigated it: Chime strengthened relationships, invested in internal infrastructure, and quietly became more operationally resilient without breaking their “we’re not a bank” message.

Lesson for fintech startups: If you’re building on someone else’s rails, make sure your seatbelt (and your support agreements) are tight.

Service Outages and Customer Complaints

In October 2019, Chime’s customers woke up to locked accounts and frozen funds due to a major service outage. About 5 million users were affected, and the complaints piled up fast on social media.

How they handled it: Chime stepped up communications and worked to overhaul infrastructure and monitoring. Transparency improved. Trust slowly returned.

Lesson for fintech startups: Even with the best UX, backend cracks will show. And Twitter (or X, if you want) will absolutely notice.

Pivot to Financial Health

By 2020, Chime realized its “millennial banking” image was limiting. So, it leaned into financial health, launching features like early direct deposit, fee-free overdraft, and credit-building tools. This wasn’t just a rebrand; it was a mission shift.

Why it worked: These features hit real pain points, especially for low-income Americans. Chime moved from being “cool” to being useful.

Lesson for fintech startups: Branding helps, but solving real-life problems builds loyalty.

Regulatory Slap

In May 2024, the CFPB fined Chime $3.25 million and ordered $1.3 million in customer redress. Why? Account closures were delayed, and customers didn’t get their money back fast enough. Not a good look for a company built on trust.

What went wrong: A third-party vendor error led to the issue, but Chime took the reputational hit. They’ve since improved controls and compliance processes.

Lesson for fintech startups: Even when it’s “not your fault,” it’s still your problem. Regulation doesn’t care who wrote the code.

IPO Incoming

After years of speculation, Chime filed for an IPO in 2025, reporting 31% year-over-year revenue growth and aiming to position itself as the default choice for fee-free digital banking.

How they’re framing it: Steady user growth, deep engagement, and expanded offerings; including savings, credit, and possibly investments down the line.

Lesson for fintech startups: You don’t need to be a bank to go public like one, but you do need bank-level numbers.

Looking Ahead

Chime is still out to prove that a friendlier, cheaper, mobile-first approach to banking can win over the mainstream. With a successful IPO on the horizon and continued focus on financial health, it’s no longer just a clever idea – it’s a serious challenger to traditional banks.

Need help telling your fintech startup’s story; the wins and the bruises? Contact us. We help startups grow with clarity, credibility, and smart strategy.