How Fintechs Are Using Payment Data for SMB Credit Scoring

Episode 26 of Fintech Conversations with Fexingo. Lucas and Luna explore how fintech lenders are leveraging real-time payment processing data to underwrite small business loans more accurately than traditional bank methods. They dive into the specific case of Stitch, a South African API startup that connects lenders to merchants' payment data, and compare it with Square's recent expansion into lending based on revenue data. The hosts discuss why conventional credit scores miss the mark for SMBs, how payment velocity and customer concentration metrics work, and what this means for the $1.5 trillion small business lending gap. They also touch on the regulatory implications and how this trend is reshaping the relationship between payment processors and banks in 2026. #Fintech #SmallBusinessLending #CreditScoring #PaymentData #Stitch #Square #SMBFinance #AlternativeData #Underwriting #BusinessLendingGap #API #EmbeddedFinance #DataDrivenLending #FinancialInclusion #Business #Technology #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo