This week, social-media platform X entered financial services with Cross River-powered interest-bearing accounts, a Visa debit card and peer-to-peer payments. US fintech Upstart also received conditional approval to establish a nationally chartered bank.

Elsewhere, PayPal raised its earnings outlook as payment volume reached $486.4 billion, while American Express, Paytm, Happen Bank and Santander reported growth across card spending, payments and lending. DBS expanded its AI assistant to more than nine million retail customers, Intuit embedded a business credit card into QuickBooks and Apple launched Klarna-backed device leases of up to 36 months.

Read more on the week’s key developments:

1. X launches X Money with accounts, cards and peer-to-peer payments

Social-media platform X launched X Money using regulated infrastructure provided by US lender Cross River. The service combines interest-bearing deposit accounts, a Visa debit card and peer-to-peer payments within X. Deposits held at Cross River are insured by the FDIC up to applicable limits, while customers enrolled in a cash-sweep programme can receive up to $10 million in aggregate pass-through coverage across participating banks.

The launch advances Elon Musk’s ambition to turn X into a broader financial platform, but it also raises regulatory and consumer-protection questions. Senator Elizabeth Warren has questioned X’s fraud, data and financial-stability controls and cited Cross River’s previous FDIC enforcement actions. The service is initially available to eligible paying subscribers in the US, with availability still restricted in states where X lacks the necessary licences.

2. US fintech Upstart receives conditional approval to establish national bank

The Office of the Comptroller of the Currency conditionally approved Upstart’s application on 23 July to establish Upstart Bank, N.A. Subject to further approvals, the branchless bank would offer consumer loans across all 50 states and accept deposits insured by the FDIC. Upstart’s FDIC application and request to become a bank holding company remain pending.

A national charter could simplify Upstart’s nationwide lending model by placing its lending and deposit activities within a single federally regulated institution. The immediate test is whether it can secure approval from the FDIC and Federal Reserve while meeting full bank-capital, governance and supervisory requirements.

3. US payments platform PayPal lifts outlook as payment volume reaches $486.4 billion

US payments platform PayPal reported second-quarter revenue of $8.68 billion, up 5% year on year, as total payment volume increased 10% to $486.4 billion. Transaction-margin dollars rose 1% to $3.9 billion, or 3% excluding interest income on customer balances. Active accounts were broadly unchanged at 439 million, while the company raised full-year adjusted earnings-per-share guidance to $5.38.

The results highlight PayPal’s challenge of improving monetisation across a large but mature user base. Buy-now-pay-later volume rose 26% and Venmo debit card monthly active users increased more than 50%, showing deeper engagement among existing customers. The key test for new CEO Enrique Lores is whether higher activity can translate into stronger transaction economics as PayPal balances cost savings, reinvestment and competition in digital payments.

4. US card issuer American Express lifts profit 8% as spending reaches $455.8 billion

US card issuer American Express reported second-quarter net income of $3.11 billion, up 8% year on year, as revenue increased 10% to $19.64 billion. Card member spending rose 9% to $455.8 billion, while pre-tax income increased 15% to $4.07 billion. Provisions declined 23% to $1.08 billion, and the net write-off rate remained at 2%.

Higher spending and demand for premium card benefits supported growth, with the US Platinum portfolio becoming the fastest-growing part of its consumer business. American Express raised its full-year revenue-growth guidance to 10%, but expenses rose 12% as rewards costs, benefit usage and investment increased. The key question is whether spending growth can continue to offset those higher engagement costs.

5. India’s Paytm raises profit 79% as comparable revenue grows 31%

India’s Paytm reported first-quarter profit after tax of INR 2.20 billion ($25 million), up 79% year on year, as operating revenue increased 28% to INR 24.48 billion ($279 million). Excluding the Payments Infrastructure Development Fund incentive, which ended in December 2025, comparable revenue grew 31% to INR 24.40 billion. Earnings before interest, tax, depreciation and amortisation rose 182% to INR 2.03 billion.

Growth across consumer payments, merchant services and financial-product distribution shows that Paytm has rebuilt momentum following earlier regulatory disruption. Separately, the Delhi High Court ordered Paytm Payments Bank to be wound up after the Reserve Bank of India cancelled its banking licence in April. Paytm said the action is limited to the associate bank and does not affect its core payment services, which operate through other banking partners.

6. US digital lender Happen grows originations 29% as revenue rises 6%

US digital lender Happen Bank, formerly LendingClub, reported second-quarter loan originations of $3.15 billion, up 29% year on year, while net revenue increased 6% to $262.9 million. Pre-tax income reached a record $75.7 million, and the net charge-off ratio improved to 3.2% from 3.8%. Management attributed origination growth to renewed marketing investment and product improvements rather than looser credit standards.

The gap between origination and reported revenue growth partly reflects Happen’s adoption of fair-value accounting for new loans. Risk-adjusted revenue rose 31%, broadly matching origination growth. Chief financial officer Drew LaBenne said charge-offs would rise as the portfolio matures, with personal-loan rates expected to normalise at 4.5% to 5%. The test is whether higher volumes sustain returns as credit costs rise.

7. Singapore’s DBS expands AI assistant to 9 million retail customers and plans agentic services

Singapore’s DBS expanded the generative AI capabilities of its digibot assistant across Singapore, Hong Kong and Taiwan, reaching more than nine million individual customers. The assistant handles queries involving cards, refunds, fee waivers and remittances, and resolved nine in 10 queries digitally during the first half of 2026. DBS separately introduced agentic capabilities for its corporate assistant, DBS Joy, allowing customers to complete selected tasks within a conversation.

From August, digibot will be integrated into DBS’s digiWealth platform for mass-market and emerging-affluent customers. Agentic and voice capabilities planned for the fourth quarter will support tasks including checking card usage and reward points, requesting fee waivers and blocking or replacing cards. The rollout will test whether DBS can automate routine servicing while preserving customer authentication and access to human support.

8. US software platform Intuit embeds 2%-cashback card into QuickBooks

US financial-software company Intuit launched a business credit card on 22 July, issued by WebBank on Mastercard. It has no annual fee, offers 2% cash back on general purchases and 5% on eligible Intuit spending, and synchronises transactions and receipts with QuickBooks. Approved small businesses can receive a virtual card and begin spending within three minutes.

The card extends QuickBooks Capital’s term loans, credit lines and invoice financing, giving Intuit a broader working-capital offering inside its accounting platform. By using WebBank, Intuit leaves regulated lending infrastructure with a partner while retaining the workflow, customer relationship and data. Its main advantage lies in embedding finance where businesses already manage their books, with rewards supporting the proposition.

9. Spain’s Santander adds 12 million customers as digital sales rise 21%

Spain’s Santander added 12 million customers over the year to reach 182 million at the end of June, including more than four million from its acquisition of UK lender TSB. Retail and Commercial Banking underlying profit rose 12% to EUR 4.12 billion ($4.84 billion), while loans increased 9% and deposits 13% in constant euros. Excluding TSB, loans rose 2% and deposits 6%.

More than four million of the additional customers came from TSB, while related restructuring costs reached EUR 250 million ($294 million) in the first half. Digital sales rose 21% as Santander continued rolling out its common operating model across retail markets. The key test is whether TSB integration can convert the enlarged customer and deposit base into sustained profit growth.

10. Apple launches Klarna-backed device leases of up to 36 months

US technology company Apple launched Apple Upgrade in the US on 28 July, a device-leasing programme financed by Klarna and available through Apple’s website, Apple Store app and retail locations. Customers can lease iPhones and Apple Watches for 12 or 24 months, and Macs and iPads for 24 or 36 months. Monthly payments start at $17.99 for an iPhone, $11.99 for an Apple Watch or iPad and $24.99 for a Mac. Customers can upgrade, buy the device or return it at the end of the term.

The programme replaces new enrolments in Apple’s existing device-financing schemes, shifting customers from instalment ownership towards leasing. Apple retains control of the sales experience and upgrade cycle, while Klarna provides the financing. The key test is whether lower monthly payments can make leasing a mainstream way for consumers to access Apple devices while supporting more frequent upgrades.

Retail Finance Weekly tracks the most important developments reshaping retail banking and digital finance globally.