Chime Plans IPO For 2025, Submits Confidential Filing To US Government
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Chime Financial Inc., a company known for its free banking services, is getting ready for an Initial Public Offering (IPO) in 2025. According to people close to the matter, Chime has sent a confidential document to the US government. While the company plans to go public, the exact date isn’t fixed yet, and the plans could still change if market conditions shift.
Chime offers mobile banking through its app but is not a bank itself. Unlike regular banks, it doesn’t have physical buildings or hire many staff. This simple way of working keeps costs low and helps bring in customers with better money services. Companies like Monzo Bank in the UK also use this method, offering smart ideas to compete with old-style banks.
The Company Allows Users To Get Up To $500 Of Their Paycheck Early
A Chime spokesperson failed to comment. The company has collected $2.65 billion from investors so far, according to reports. Some investors are Sequoia Capital, Forerunner Ventures, Coatue Management, Menlo Ventures, and Acrew Capital.
The firm is based in San Francisco and provides services such as checking accounts and savings accounts that earn more interest than usual. Earlier this year, Chime introduced a feature that lets customers get up to $500 from their paychecks early.
The company also made a deal with the Dallas Mavericks basketball team to display its logo on the team’s jerseys. This move helps make the company more visible and grow its name
In 2021, Chime was worth $25 billion during a tech boom, but as prices and interest rates went up, the boom slowed down. According to earlier reports, Chime chose Morgan Stanley to lead its IPO efforts in 2025. The IPO market is starting to get better and more hopeful for next year, with companies feeling more confident because the stock market reacted well to Donald Trump becoming president.
Chime Paused Its IPO Plans In February 2022 Due To Industry Slowdown
Chime paused its IPO plans in February 2022 because the industry slowed down. In December 2023, the co-founder of Chime Chris Britt said the firm was ready for an IPO and was waiting for the economy and stock market to improve.
In October, the firm shared that its free overdraft feature, SpotMe, has given members $30 billion in overdrafts since 2019 without charging fees. Most banks charge $35 for an overdraft, but Chime lets members overdraw by up to $200 for free.
To make things easier for customers, Chime grew its partnership with NCR Atleos in August. As part of the deal, 4,000 ATMs in Walgreens stores will now show the Chime logo, letting customers take out cash for free. Chime’s users already have access to over 50,000 no-fee ATMs through the Allpoint Network.
Nick Fairbairn, Chime’s Vice President of Marketing said customers love using Chime on their phones, but they also want free and easy ways to get cash. He added that the partnership with Atleos makes it simple for customers to get cash while picking up daily items at Walgreens stores.
