Lithic Expands Partner Bank Network with Addition of Stearns Bank

WHY THIS MATTERS:
As fintechs mature, access to scalable, compliant issuing infrastructure has become a defining constraint on growth. Building and maintaining card programs now requires deep regulatory expertise, resilient banking partnerships and the ability to operate across multiple payment networks without friction. This partnership reflects a broader industry trend toward enterprise-grade enablement, where fintechs rely on embedded banking and program management platforms rather than building complex capabilities in-house. With regulators increasing scrutiny of bank–fintech arrangements, trusted sponsor banks and well-governed program managers are emerging as critical pillars of the ecosystem. For fintechs targeting both consumer and commercial use cases, the ability to launch quickly while maintaining compliance and reliability is now a competitive necessity.

Lithic, the card issuer processing platform powering next-generation financial experiences, today announced a partnership with Stearns Bank, a well-capitalized, Minnesota-headquartered financial services institution with over a century of experience and customers nationwide.  This collaboration expands Lithic’s enterprise-grade card program capabilities, enabling fintechs to launch comprehensive consumer and commercial card programs with trusted infrastructure.

Through this partnership, Stearns Bank will serve as BIN sponsor across major payment networks for Lithic’s program-managed services. Stearns Bank brings over 100 years of national banking expertise, and a mission rooted in economic empowerment for all, making it an ideal partner to support Lithic’s growing roster of fintech and enterprise clients seeking scalable, compliant payment and banking infrastructure. 

“Stearns Bank’s vision of shared prosperity and their commitment to empowering people to achieve their full economic potential perfectly aligns with Lithic’s values and our shared belief that better banking and payments experiences improve lives,” said Bo Jiang, CEO of Lithic. “Together, we’re democratizing access to enterprise-grade issuing capabilities, enabling fintechs to deliver innovative financial products that drive inclusive growth and expand economic opportunity.”

Stearns Bank’s national reputation for delivering tailored, relationship-focused banking services and its emphasis on serving communities often overlooked by larger financial institutions make it a strong partner for Lithic’s program management platform. The bank’s strategic approach to fintech enablement, combined with its robust regulatory and compliance framework, provides the foundation for scalable, reliable card issuing infrastructure that helps their customers succeed.

“The best partnerships are built on shared values, not just shared capabilities. Lithic’s commitment to democratizing access to modern card and payment infrastructure aligns with Stearns Bank’s mission of empowering people and businesses to achieve their financial goals,” said Patrick Slain, VP, Director of Fintech at Stearns Bank. “Together, we’re creating pathways for fintechs to build innovative, compliant products that drive inclusive growth and meaningful economic impact.”

The partnership delivers enterprise-ready capabilities for fintechs, including the ability to:

• Launch comprehensive card program suites: Access program management for credit, debit and prepaid programs across both consumer and commercial markets through a single platform.
• Process with direct Federal Reserve access: Utilize direct-to-Fed ACH processing and FedWire capabilities for fast, efficient money movement without legacy core banking dependencies.
• Scale with robust compliance infrastructure: Leverage comprehensive compliance and risk management frameworks supported by Stearns Bank’s regulatory expertise.
• Streamline operations end-to-end: Benefit from Lithic’s onboarding, processing and settlement services designed to reduce time-to-market for innovative payment products.
• Delegate program services to experts: Access comprehensive program services including disputes and chargebacks, 24/7/365 cardholder support with IVR, fraud monitoring and risk management.
• Build on enterprise-grade infrastructure: Deploy card programs with the reliability, observability and control that high-growth technology companies demand.

FF NEWS TAKE:
This collaboration strengthens Lithic’s position as a full-stack issuing partner for serious fintech builders. The real differentiator will be how effectively the platform supports scale without adding compliance friction. Watch for increased demand for sponsor-bank partnerships that combine national reach with fintech-native execution.