Chime

Chime launched in twenty thirteen with a radical business model. No monthly fees. No overdraft fees. No minimum balance. Traditional banks made money on customers. Chime made money on transactions. Every time a Chime member swiped their card at a store, a processor paid a small commission called interchange. Chime could give away banking for free and still profit. Legacy banks fought this fiercely. They lobbied regulators and slapped fees on debit cards. Chime didn't care. The company understood that convenience was the actual product. No fees meant no friction. No friction meant more card swipes. More swipes meant more interchange revenue. The math was simple and terrifying to incumbents.