Chime to Acquire Stride Bank for $590M: Neobank Giant Secures National Charter

Chime has entered a definitive agreement to acquire its long-term partner Stride Bank for $590 million, a transaction that will transform the fintech into a bank holding company. For the industry, this move signals an end to the "fintech, not a bank" era for major players, promising improved unit economics and direct control over a national charter.

What was announced

The definitive agreement involves Chime acquiring Central Service Corporation, the parent holding company of Stride Bank, N.A., for a cash consideration of $590 million, subject to adjustment. Upon the deal's expected closing in the first half of 2027, Stride will be renamed Chime Bank, N.A. and operate as a wholly owned subsidiary. Chime currently serves over 10 million Active Members and intends to integrate its AI-native technology stack, ChimeCore, directly with Stride’s banking infrastructure.

The acquisition is designed to eliminate partner-bank fees and reduce funding costs, which Chime expects will result in more than $100 million in net synergies from fee savings, lending expansion, and a lower cost of funds. The purchase price represents approximately 1.5 times Stride’s tangible book value and will be funded entirely from Chime’s existing balance sheet with no incremental capital contribution. Chime has stated it expects to keep its assets below the $10 billion threshold for the foreseeable future.

Alongside the announcement, Chime raised its financial guidance. The company reported Q3 revenue of $705 million, a 30 per cent year-over-year increase, with adjusted EBITDA between $117 million and $120 million. For the full year, Chime projects revenue of $2.76 billion to $2.77 billion and adjusted EBITDA of $481 million to $489 million. The transaction has received unanimous approval from both boards but remains subject to approval from the Office of the Comptroller of the Currency (OCC) and the Federal Reserve Board.

"the company was founded because mainstream America deserved better banking, that its member-aligned, technology-driven strategy remains unchanged, and that combining Chime's brand and member relationships with Stride's national charter and team will accelerate its aim of becoming the largest provider of primary bank accounts in America."

Chris Britt, CEO and Co-founder at Chime.

The companies involved

Chime is a prominent financial technology company that has historically operated by partnering with traditional banks to offer its services. With over 10 million active members, it has positioned itself as a primary account provider for a significant portion of the American population. The company’s growth has been supported by its proprietary technology stack, which it now plans to merge with a traditional banking core to facilitate faster product development.

Stride Bank, N.A. is a nationally chartered institution headquartered in Enid, Oklahoma. Founded in 1913, the bank has a century-long history in the American Midwest but has gained modern relevance as a key infrastructure partner for fintech firms. Stride has served as Chime’s primary bank partner for more than seven years, providing the regulatory and deposit-taking framework necessary for Chime’s consumer products. Its parent company, Central Service Corporation, is the entity being acquired in this transaction. The deal marks a transition for Stride from an independent sponsor bank to a captive subsidiary of one of its largest clients, with Brud Baker, chairman and chief executive at Stride Bank, set to continue leading Chime Bank post-acquisition.

What FF News has reported before

FF News recently covered Chime’s expanding footprint in the American market, including reports on how Chime Expands Support for Trump Accounts and Brings Compound Combine to Texas. The regulatory environment surrounding such a deal is also shifting; the OCC Overhauls Bank Supervision Policies to Focus on Material Financial Risks was a significant development in late 2026, suggesting heightened scrutiny for bank holding companies. Furthermore, Chime’s move to acquire a charter follows other international players seeking a foothold in the U.S., as seen when Revolut Secures Conditional OCC Approval for U.S. National Bank Charter earlier this year.

What this means

This acquisition signals a strategic pivot in the neobank sector, moving away from the "rent-a-charter" model that has dominated the last decade. By opting to buy an established partner rather than pursuing a de novo charter, Chime is choosing a path that prioritizes speed and proven operational compatibility. This puts immense pressure on other fintechs that remain reliant on third-party sponsor banks, especially as regulators like the OCC increase their focus on material financial risks. The move also raises questions about the future of the sponsor bank market; if the largest fintechs eventually acquire their partners, the pool of high-quality, tech-forward charters available to smaller startups may shrink significantly.