Brazilian fintechs increase use of collateral to 79%

A study by the Associação Brasileira de Crédito Digital (ABCD) and PwC Brasil reveals a significant shift in the Brazilian fintech sector. The use of collateral in credit operations rose from 34% to 79% over a four-year period, reaching its highest level in the survey's history by 2025.

Private payroll-deductible loans (consignado privado) saw the most notable growth, appearing in the portfolios of 47% of surveyed fintechs. This trend is attributed to more competitive rates and reduced default risks. Claudia Amira, executive director of ABCD, noted that collateralized credit allows for faster, more efficient lending and provides access to financial resources for borrowers who might not otherwise qualify.

The 2026 Digital Credit Fintech study also indicates market maturity. Approximately 40 companies reported granting R$53.8 billion in credit in 2025, a 51% increase, serving 94.9 million individual clients. Notably, 82% of this expansion originated from existing operations rather than new customer acquisition.