Brazilians have a considerable choice regarding online payment methods, which is a good thing because shopping online is popular in the country, as are other virtual activities such as online casinos and gaming sites.
Credit cards are widely used in Brazil, but as is the case in the rest of the world, there are now many other options for those who want to carry out transactions online, including cash transfers, third-party payment processors, and cryptocurrencies.
Here are a few popular online payment methods Brazilians tend to use.
CARDS AND CASH TRANSFERS
Card use is quite high in Brazil, and credit cards are an easy way for Brazilians to make payments online.
There is certainly a trend in the country toward spreading the cost of big purchases where possible rather than paying outright, and obviously, credit cards allow for this, albeit with hefty interest payments.
This is part of the reason why they are frequently used, along with other online payment options that allow for payment in installments.
There are also cash-based methods such as Boleto Bancário, which roughly translates to ‘bank ticket’ and is a system whereby a virtual ‘ticket’ or voucher is generated with a barcode, payment details, and customer information to make cash transfers quick and easy.
These bank transfers allow Brazilians without credit cards to make online transactions. However, there are also plenty of other options available.
PICPAY
PicPay is a digital wallet that is popular in Latin America, and it is the online wallet with the highest number of users in Brazil.
The platform is used by around 30 million people daily and is accepted at over 5 million establishments.
While the firm started out as a fintech company, it is now a licensed bank in Brazil offering other services such as investments, loans, and credit cards.
The firm’s digital wallet remains a highly popular way for Brazilians to make online payments.
NUBANK
While Nubank has fewer users in Brazil, it is the most popular digital wallet overall in Latin America, as it is available in other major countries in the region, including Mexico.
The firm has nearly 60 million registered users, of which more than 46 million are active platform users.
Nubank incorporates NuPay, specifically for making e-commerce payments, and NuCripto, a way to make cryptocurrency investments, accessed via its main e-wallet.
MERCADO PAGO
This fintech company is part of the Mercado Libre group and runs another popular digital wallet in the Latin America region, with users throughout Brazil and several other countries.
With around 36 million active users, the wallet is reported to have surpassed a total payment volume of US$25m in 2022.
PAGBANK PAGSEGURO
PagBank PagSeguro is a financial services and digital payments company based in São Paulo, Brazil.
The firm offers a range of online payment methods to Brazilian citizens and residents, including pre-paid cards and credit and debit cards.
The company is considered a disruptive provider of financial technology solutions and includes credit solutions for those with negative credit and limited options, among many other services.
The company primarily serves individual consumers and entrepreneurs, micro-merchants, and small to medium-sized firms throughout Brazil.
CRYPTOCURRENCIES
Cryptocurrencies are widely used in Brazil, and the legal situation in the country is similar to that in most countries around the world.
While Bitcoin and other crypto coins are not legal tender and are not backed by the national government or central bank, they are fully legal and often used for online transactions at e-commerce businesses, online casinos, and other organizations.
In Brazil, crypto assets are considered goods or moveable property for legal purposes rather than an official form of currency.
Brazilians typically use all the same cryptocurrencies as the rest of the world, with Bitcoin being the most popular, and other coins such as Ethereum, Litecoin, Ripple, and Tether are also in use and accepted at various online venues.
Nubank has announced that it is in the process of creating a new made-in-Brazil cryptocurrency for its customers as part of its loyalty program and is expecting the new virtual currency to be launched during the first half of 2023, operating alongside the other services and digital payment options already offered by the firm.
SKRILL AND NETELLER
Skrill and Neteller, two of the more popular online payment methods in many parts of the world, have had a tough time in Brazil and were both forced to withdraw from the Brazilian online gambling market for a while amid legal and regulatory issues that affected the payment methods, which are both owned by the Paysafe group.
The two payment processors have been reinstated as legitimate payment methods and are now accepted at many of Brazil’s online gambling venues, though they are not widely used elsewhere.
PAYPAL
PayPal is now accepted in most countries, including Brazil, and is a popular and secure way to conduct online transactions in the country.
PayPal has long been seen as a good choice for instant transfers, allowing customers to either link their bank account or credit card to their account or keep a PayPal balance.
Once set up, PayPal transactions only require an email address, or link, to make virtual payments, so many smaller businesses and freelancers prefer payment this way.
Many online retailers are also happy to take payment by PayPal. Compared to the wide range of other options available, PayPal is certainly less popular, with around 4.3 million active users in Brazil.
PAYONEER
Payoneer is also available in Brazil. Although it is less popular than many other methods, it is sometimes preferred by businesses and individuals due to the speed of transactions.
Payoneer transfers tend to be faster than most other payment methods, and it is most commonly accepted by small businesses, micro-merchants, and freelancers in Brazil, as it is elsewhere.
Ultimately, there are plenty of online payment methods available in Brazil, with the more popular ones being those provided by companies based within the country rather than the bigger international payment processors.