Most common payment methods in Brazil

What are the most common payment methods today in Brazil: cash, debit/credit cards, bank transfers, mobile apps or digital wallets?

All of the above, but PIX is #1 by far. It is an instant no cost to you, user to user transfer, done thru smart phones and your bank app using QR codes or your CPF, email, etc.

Is contactless payment (card, phone, smartwatch or via QR code) common and widely accepted ?

Everywhere, even by beach vendors who walk around selling you drinks and snacks.

Is there a popular local payment app that everyone uses ?

PIX

How safe and secure do you feel using digital payments in Brazil ?

I'm fine with PIX, but am not a regular user, as I prefer credit cards for the fraud protection, points programs, insurance benefits, airport lounge access, and the 30 day payment deferral allowing me to accrue interest from the bank on my investments in the interim period, as opposed to using PIX or cash.

Do you still need to carry cash for small shops, markets, taxis or administrative services ?

Yes of course. But, you should NEVER, EVER, use anything other than cash for the beach vendors, camelos (street sidewalk merchants) or the street food and drink vendors using push carts, as that is where 99% of C/C and electronic fraud happens. The internet is full of stupid and/or drunk gringo's regularly getting ripped off overpaying for everything by using a credit/debit card with these guys.

Are there any particularities in payment habits or methods in Brazil that surprised you ?

The concept called "Parcelas"......you should not carry or float a balance on a C/C here like you do in western countries, as the interest will virtually kill you. So, they use a C/C and then split the overall cost up into 3-6-9-12 or even 24 monthly payments to your card, with no interest charges. Having said that, some merchants offer discounts for cash/debit or PIX upfront instead of using a C/C.

For example, last year we bought a sofa for R$8.800......split it into 10 x R$880.......kept the cash in the bank and earned interest on it, making enough juros (interest) from the bank over the 10 month parcela period, to actually cover one of the payments in full. The only issue with parcelas is you need a very healthy credit card limit to utilize it effectively, as the total amount of the purchase is blocked from your authorized limit on day one, and slowly reduces as you pay it off over the period.

@hagece8690

Nice response.

I'd only add that (location dependent) "bargaining" is a tradition where I live but it is rapidly vanishing. Still, one should always try. Minimally, act as if you're going to charge your purchase for the best price you can negitiate and then negotiate an additional PIX discount. I normally get 5%-10% off by paying directly via PIX.

mberigan

How about best methods for transferring money to buy an apartment?

You need to do it so that it goes thru the Brasilian Central Bank in order to qualify for the investor visa. Just a comment, if that is your intention.

Any significant amount of money IMHO should be transferred thru a bricks and mortar bank with legit international correspondent connections IMHO. I do not trust internet banks at all, or any of these companies like WISE, Revolut, etc, or the small and perhaps flaky second tier financial companies either when 6 and 7 figures are at risk.

But that's just me. If you think you're going to get a screaming deal on an international transfer of a large sum you are sorely mistaken, as the Brasilian government's IOF of .38% is collected regardless of whatever someone trying to market you their service says, the forex rate will be where they make a few pips, so, everyone is going to get their vig, accept that fact.

Security, rather than saving $200 is the order of the day. I've sent funds internationally thru major charted banks to my accounts here and everything arrives in 2 days. Depending on the level of your banking relationship here, you can also negotiate the forex rate they are going to try and charge with your account manager.

@Cheryl

Most common payment method is Pix

96% of Braizlians use Pix for transactions

I only use cash. I only need to be robbed once on my card by someone in Rio when I live in the Northeast to not trust anything else. If I get robbed, they can only take what I have in cash.😒

Adding a newer arrival's view. I barely use a physical card. I tap to pay with my phone almost everywhere, and in thousands of payments I can remember it failing once. When it doesn't work, most places take Pix, and I send Pix from Wise. I don't have a Brazilian bank account yet. As a backup I carry a Charles Schwab debit card (no foreign transaction fees). When the terminal asks crédito or débito, I pick crédito, since foreign cards often fail on débito.