A recent report by PYMNTS Intelligence and Mastercard reveals that small and medium-sized businesses (SMBs) in the U.S. are increasingly turning to FinTech payment providers for cross-border transactions. While traditional banks remain the primary choice, with 64% of internationally active SMBs relying on them for supplier payments in 2025, the report indicates a notable uptick in the adoption of FinTech solutions. The percentage of SMBs planning to use FinTechs for international purchases is projected to rise to 36% in 2026, up from 30% in 2025, highlighting a growing preference for the speed and efficiency these platforms offer. Furthermore, 91% of SMBs utilizing FinTechs rated their performance positively, underscoring the satisfaction with these services compared to other payment methods, excluding cryptocurrency platforms.
The report emphasizes that FinTechs are gaining traction by providing a streamlined digital experience that consolidates various functions, such as fast payments and foreign exchange tools, into a single platform. This approach enables SMBs to manage overseas transactions more effectively while maintaining their relationships with traditional banks. The ability to integrate specialized payment services for specific currencies and workflows allows businesses to enhance their operational efficiency without completely abandoning established financial institutions.
As competition intensifies, banks have the opportunity to adapt by improving their digital interfaces and partnering with FinTechs to better serve the needs of SMBs. The report also notes a decline in usage among specialized money transfer operators, while stablecoin and cryptocurrency platforms are expected to gain traction. Overall, the findings suggest that performance and user experience will increasingly dictate provider choice in the evolving cross-border payment landscape.
The report emphasizes that FinTechs are gaining traction by providing a streamlined digital experience that consolidates various functions, such as fast payments and foreign exchange tools, into a single platform. This approach enables SMBs to manage overseas transactions more effectively while maintaining their relationships with traditional banks. The ability to integrate specialized payment services for specific currencies and workflows allows businesses to enhance their operational efficiency without completely abandoning established financial institutions.
As competition intensifies, banks have the opportunity to adapt by improving their digital interfaces and partnering with FinTechs to better serve the needs of SMBs. The report also notes a decline in usage among specialized money transfer operators, while stablecoin and cryptocurrency platforms are expected to gain traction. Overall, the findings suggest that performance and user experience will increasingly dictate provider choice in the evolving cross-border payment landscape.
Source: PYMNTS
