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The payments landscape is shifting. Are you prepared?

Regulatory scrutiny is intensifying, fraud threats are evolving, and operational inefficiencies are squeezing margins. To succeed in 2025, payments businesses must stay agile, compliant, and secure while driving sustainable growth.

The Thredd team

March 19, 2025

The financial services industry is facing a critical inflection point. As regulatory frameworks tighten and fraudsters become more sophisticated, payments businesses need to adapt or risk falling behind.

Fraud disputes and chargebacks can significantly impact profitability,” ...“Our clients are increasingly asking how we can help them reduce costs, improve compliance, and scale with confidence.

Jim McCarthy CEO, Thredd

Our latest report, Protecting & Growing Your Payments Business in 2025, explores the top challenges shaping the industry and how fintechs, banks, and embedded finance providers can navigate them successfully.

Key insights include: 

  1. 1
    Fraud losses are projected to exceed $40 billion globally by 2027. 

    AI-driven fraud detection and prevention are no longer optional. Businesses must invest in real-time risk management to protect both customers and revenue. 

  2. 2
    Adapting business models. 

    Successful fintech firms are adapting to pressures on interchange fees, particularly in Europe. Many are moving to fee-based models and focusing on value-added services. As McCarthy notes, "We have clients that serve the thin file, unbanked, underserved customers... and they're not making their money on interchange." 

  3. 3
    Regulatory compliance remains a top barrier to growth.

    With financial institutions tightening controls and increasing due diligence on fintech partnerships. The report outlines key steps to maintaining transparency, readiness, and compliance across multiple jurisdictions. 

  4. 4
    Cost pressures continue to rise.  


    With back-office inefficiencies eating into profitability. Streamlining operations and automating compliance can drive efficiency while maintaining security. 

    As a leading issuer processer, we provide the expertise and infrastructure needed to navigate these challenges and future-proof payments businesses for long-term success. 

    Get your free copy here:

    Download now. 

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