Zopa Bank expands payments grip with retail finance acquisition
Digital bank Zopa has expanded its payments reach with a fresh takeover.
The fintech has snapped up Rvvup – a platform designed to streamline businesses’ acceptance, collection and management of payments.
Zopa said the acquisition will treble the size of its embedded finance business in two years, which covers the integration of financial products into non-financial platforms. The firm also expects the deal to propel it to a top three player in retail finance in the next five years.
Specialist lenders across the board have cashed in on retail financing as big banks steered away.
Research from the Finance and Lease Association (FLA) revealed the first quarter of 2025 saw a six per cent uptick in retail finance against the same period in 2024 with a record £12bn in new lending reported in March alone.
Zopa said the takeover of Rvvup will allow it to “accelerate” its retail finance offering through create a unified payment experience from point-of-sale lending to supporting all modern payment methods.
But the disruptor is set for a challenge as it looks to conquer the retail financing market against incumbents who have dominated the area left by big banks.
FTSE 250 bank Secure Trust snapped up the number three spot in the market after topping £1.35bn in loans to customers in 2024.
Zopa on a growth push
The takeover comes amid a major growth push from Zopa, which doubled its pre-tax profit in the 2024 financial year to £34.2m.
The bank launched its current account “Biscuit” in June as it laid out plans to take on the UK’s high street giants.
Merve Ferrero, chief strategy officer at Zopa Bank, told Morning Wire in June: “What we have tried to do is build a product that leverages the technology of a neobank but gives the value no one else does.”
The firm has also been eyed as one of a number of fintech IPOs that Chancellor Rachel Reeves hopes could power a City markets revival.
In April, chief executive, Jaidev Janardana told Morning Wire: “I feel that free opening of IPOs is far out and the current market conditions do not have that at all.”