Revolut, the fintech disruptor, shakes up Spain and Europe with new
instalment payment options and ambitious European expansions.
Revolut’s Instalment Plan: A New Way to Pay in Spain
Revolut, the digital banking powerhouse, has unveiled an instalment
payment option for its credit customers in Spain along with Ireland, and
Poland. This feature allows users to split purchases over €50 into fixed
instalments, offering lower interest rates than traditional ‘revolving’ credit
cards. The move reflects a growing consumer demand for flexible payment
solutions, particularly in an era of rising living costs and shifting financial
priorities. The system allows the customer to decide whether to pay in
instalments at the end of the month or not, generating higher interest rates.
The strategy is straightforward: to make Revolut a more attractive
everyday spending tool for Spaniards by offering them the kind of payment
flexibility that traditional banks have long monopolized. Revolut’s step
eliminates the need for third-party financing providers, a strategy that aligns
with its goal of cutting out financial middlemen and keeping banking
streamlined.
But the real question is: will Spanish consumers embrace this new
feature? Given the country’s growing reliance on digital banking and the
success of competitors like Klarna and PayPal in the instalment space, the odds
are in Revolut’s favor. The key will be competitive interest rates and a
frictionless user experience.
Beyond Instalments: Revolut’s Spanish Ambitions
Spain has become a crucial battleground for Revolut. In 2024, the
company reported a 60% growth in its Spanish user base, reaching
over 4 million customers. This surge is largely due to aggressive
localization strategies, including the launch of interest-bearing accounts and
the integration of Bizum, Spain’s dominant peer-to-peer payment service.
Bizum’s integration into Revolut was a particularly smart move.
Spaniards are fiercely loyal to Bizum, using it for everything from splitting
bills at restaurants to paying rent. With 27 million Bizum users, the
integration reinforces the push to make Revolut a potential primary account in
Spain.
But Revolut isn’t stopping at digital-only features. The company has
also announced plans to deploy branded
ATMs in Spain starting mid-2025. These machines will not only allow cash
withdrawals but also offer card issuance and—potentially—cash deposits. The ATM
rollout is a strategic pivot that could help Revolut capture a segment of users
still reliant on cash transactions.
Bridging Digital and Physical Banking: ATMs and Mortgages
Revolut’s ATM strategy is a clear indication that it wants to be more
than just a digital bank. It wants a physical presence in key locations where
foot traffic is high. Spanish banks closed
213 banks in 2023-2024, with around 21,000
banks closed over the last decade, leaving some communities underserved. By
offering an alternative cash-access network, Revolut could position itself as a
more accessible and consumer-friendly option.
They haven’t forgotten the UK, either.
Additionally, Revolut is making moves into the mortgage market. The
company has hired Stephen
McCormick from Avant Money to lead its mortgage team, signaling a strong
commitment to offering home loans across Europe by 2025. The initial rollout
will begin in Ireland before expanding into Ireland,
France, Spain and other key markets. Given Revolut’s reputation for digital
efficiency, its mortgage offering will likely focus on streamlined application
processes and competitive interest rates.
This mortgage move could be a game-changer. Traditional banks are notorious
for their sluggish, paperwork-heavy mortgage processes. If Revolut can simplify
and speed up the process while maintaining competitive rates, it could become a
serious threat to established lenders.
European Expansion: eSIMs, Crypto, and What’s Next
Beyond Spain, Revolut is making waves across Europe. In March of last
year, the company introduced eSIM
services for customers in the European Economic Area (EEA), offering a
seamless solution to avoid unexpected roaming charges in over 100 countries.
This innovation caters to the growing number of digital nomads, frequent
travelers, and business professionals who require reliable connectivity without
the hassle of purchasing physical SIM cards.
On the crypto front, Revolut expanded its cryptocurrency exchange platform,
Revolut X, to a range of
European markets in late 2024. Targeted at experienced traders, this platform
provides access to over 200 cryptocurrencies, reinforcing Revolut’s commitment
to serving a tech-savvy, investment-focused audience.
With its rapid expansion and growing suite of services, Revolut appears
to be positioning itself as a full-spectrum financial ecosystem. But what’s
next?
What Revolut Might Be Planning
Given its track record, it’s safe to assume Revolut has more ambitious
plans in the pipeline. Some potential future moves could include:
- Personalized Financial Products – AI-driven investment portfolios,
automated tax planning, and bespoke credit products tailored to individual
users. - Deeper Market Penetration in Southern Europe – Spain is a testing
ground, but similar localized strategies could be deployed in Portugal, Italy,
and Greece, where digital banking adoption is growing. - Expansion of Revolut Business Services – The company could introduce
SME-focused lending, business credit cards, and deeper integrations with
e-commerce platforms. - Further Regulatory Plays – Revolut has secured banking licenses in
various countries, but full-fledged banking services (like deposit insurance
and lending products) could be next on its agenda.
Why It Matters: The Bigger Picture
Revolut’s expansion is more than just a fintech success story—it’s a
glimpse into the future of banking. Traditional banks have been slow to adapt
to changing consumer preferences, while Revolut moves at breakneck speed,
rolling out features that anticipate rather than react to market demands.
Hello. We have already launched the Spanish Branch, and our customers in Spain can get the ES IBAN.
— Revolut (@RevolutApp) January 10, 2025
By embedding itself into the daily financial habits of its
users—whether through instalment plans, Bizum integration, or mortgage
offerings—Revolut is positioning itself as an all-in-one financial powerhouse.
It’s a strategy designed to lock users into its ecosystem, making it harder to
leave for a competitor.
The company’s success in Spain could be a blueprint for its expansion
across the rest of Europe. If it continues to innovate while maintaining user
trust, Revolut could very well redefine what it means to be a modern bank.
For more stories of Fintech, visit our dedicated archives.
Revolut, the fintech disruptor, shakes up Spain and Europe with new
instalment payment options and ambitious European expansions.
Revolut’s Instalment Plan: A New Way to Pay in Spain
Revolut, the digital banking powerhouse, has unveiled an instalment
payment option for its credit customers in Spain along with Ireland, and
Poland. This feature allows users to split purchases over €50 into fixed
instalments, offering lower interest rates than traditional ‘revolving’ credit
cards. The move reflects a growing consumer demand for flexible payment
solutions, particularly in an era of rising living costs and shifting financial
priorities. The system allows the customer to decide whether to pay in
instalments at the end of the month or not, generating higher interest rates.
The strategy is straightforward: to make Revolut a more attractive
everyday spending tool for Spaniards by offering them the kind of payment
flexibility that traditional banks have long monopolized. Revolut’s step
eliminates the need for third-party financing providers, a strategy that aligns
with its goal of cutting out financial middlemen and keeping banking
streamlined.
But the real question is: will Spanish consumers embrace this new
feature? Given the country’s growing reliance on digital banking and the
success of competitors like Klarna and PayPal in the instalment space, the odds
are in Revolut’s favor. The key will be competitive interest rates and a
frictionless user experience.
Beyond Instalments: Revolut’s Spanish Ambitions
Spain has become a crucial battleground for Revolut. In 2024, the
company reported a 60% growth in its Spanish user base, reaching
over 4 million customers. This surge is largely due to aggressive
localization strategies, including the launch of interest-bearing accounts and
the integration of Bizum, Spain’s dominant peer-to-peer payment service.
Bizum’s integration into Revolut was a particularly smart move.
Spaniards are fiercely loyal to Bizum, using it for everything from splitting
bills at restaurants to paying rent. With 27 million Bizum users, the
integration reinforces the push to make Revolut a potential primary account in
Spain.
But Revolut isn’t stopping at digital-only features. The company has
also announced plans to deploy branded
ATMs in Spain starting mid-2025. These machines will not only allow cash
withdrawals but also offer card issuance and—potentially—cash deposits. The ATM
rollout is a strategic pivot that could help Revolut capture a segment of users
still reliant on cash transactions.
Bridging Digital and Physical Banking: ATMs and Mortgages
Revolut’s ATM strategy is a clear indication that it wants to be more
than just a digital bank. It wants a physical presence in key locations where
foot traffic is high. Spanish banks closed
213 banks in 2023-2024, with around 21,000
banks closed over the last decade, leaving some communities underserved. By
offering an alternative cash-access network, Revolut could position itself as a
more accessible and consumer-friendly option.
They haven’t forgotten the UK, either.
Additionally, Revolut is making moves into the mortgage market. The
company has hired Stephen
McCormick from Avant Money to lead its mortgage team, signaling a strong
commitment to offering home loans across Europe by 2025. The initial rollout
will begin in Ireland before expanding into Ireland,
France, Spain and other key markets. Given Revolut’s reputation for digital
efficiency, its mortgage offering will likely focus on streamlined application
processes and competitive interest rates.
This mortgage move could be a game-changer. Traditional banks are notorious
for their sluggish, paperwork-heavy mortgage processes. If Revolut can simplify
and speed up the process while maintaining competitive rates, it could become a
serious threat to established lenders.
European Expansion: eSIMs, Crypto, and What’s Next
Beyond Spain, Revolut is making waves across Europe. In March of last
year, the company introduced eSIM
services for customers in the European Economic Area (EEA), offering a
seamless solution to avoid unexpected roaming charges in over 100 countries.
This innovation caters to the growing number of digital nomads, frequent
travelers, and business professionals who require reliable connectivity without
the hassle of purchasing physical SIM cards.
On the crypto front, Revolut expanded its cryptocurrency exchange platform,
Revolut X, to a range of
European markets in late 2024. Targeted at experienced traders, this platform
provides access to over 200 cryptocurrencies, reinforcing Revolut’s commitment
to serving a tech-savvy, investment-focused audience.
With its rapid expansion and growing suite of services, Revolut appears
to be positioning itself as a full-spectrum financial ecosystem. But what’s
next?
What Revolut Might Be Planning
Given its track record, it’s safe to assume Revolut has more ambitious
plans in the pipeline. Some potential future moves could include:
- Personalized Financial Products – AI-driven investment portfolios,
automated tax planning, and bespoke credit products tailored to individual
users. - Deeper Market Penetration in Southern Europe – Spain is a testing
ground, but similar localized strategies could be deployed in Portugal, Italy,
and Greece, where digital banking adoption is growing. - Expansion of Revolut Business Services – The company could introduce
SME-focused lending, business credit cards, and deeper integrations with
e-commerce platforms. - Further Regulatory Plays – Revolut has secured banking licenses in
various countries, but full-fledged banking services (like deposit insurance
and lending products) could be next on its agenda.
Why It Matters: The Bigger Picture
Revolut’s expansion is more than just a fintech success story—it’s a
glimpse into the future of banking. Traditional banks have been slow to adapt
to changing consumer preferences, while Revolut moves at breakneck speed,
rolling out features that anticipate rather than react to market demands.
Hello. We have already launched the Spanish Branch, and our customers in Spain can get the ES IBAN.
— Revolut (@RevolutApp) January 10, 2025
By embedding itself into the daily financial habits of its
users—whether through instalment plans, Bizum integration, or mortgage
offerings—Revolut is positioning itself as an all-in-one financial powerhouse.
It’s a strategy designed to lock users into its ecosystem, making it harder to
leave for a competitor.
The company’s success in Spain could be a blueprint for its expansion
across the rest of Europe. If it continues to innovate while maintaining user
trust, Revolut could very well redefine what it means to be a modern bank.
For more stories of Fintech, visit our dedicated archives.
This post is originally published on FINANCEMAGNATES.
