# Embedded finance

> Embedded finance is the distribution of financial products inside non-financial apps and platforms via APIs and partners.

Source: https://www.neobank.wiki/wiki/embedded-finance
Last updated: 2026-08-11
Categories: Financial technology, Banking, Digital banking

**Embedded finance** is the practice of offering financial products—payments, accounts, cards, lending or insurance—inside a non-bank product experience such as a marketplace, ride-hail app or SaaS tool.[^ef1] It overlaps with [banking as a service](/wiki/banking-as-a-service) on the supply side and with [neobanks](/wiki/neobank) when the host brand owns the customer relationship.

## Overview

Instead of sending users to a bank, platforms embed checkout lending ([Klarna](/wiki/klarna)), wallets ([Mercado Pago](/wiki/mercado-pago)), or bank accounts ([Bank Jago](/wiki/bank-jago) inside Gojek). Technology providers and licensed banks supply the regulated rails; the platform supplies distribution.

## Examples

Examples include [Stripe](/wiki/stripe) treasury/payments for software platforms, marketplace wallets such as [Mercado Pago](/wiki/mercado-pago), telecom mobile money such as [M-Pesa](/wiki/m-pesa), and corporate-card embeds from [Brex](/wiki/brex) or [Ramp](/wiki/ramp) inside spend workflows.

## Relation to neobanks

Many front-end [neobanks](/wiki/neobank) are embedded-finance companies whose "platform" is their own app. Others are pure embeds with no standalone bank brand. Both rely on licences, [partner banks](/wiki/partner-bank) or [electronic money](/wiki/electronic-money-institution) permissions.

## Frequently asked questions

### What is Embedded finance?

Embedded finance is the distribution of financial products inside non-financial apps and platforms via APIs and partners.


## References

[^ef1]: Embedded finance distributes regulated financial products inside non-bank customer journeys. — https://www.bis.org/fsi/publ/insights28.pdf