Credit access and usage patterns shift in Brazil

Credit access and usage patterns are shifting in Brazil, impacting consumer behavior and household finances. Research from the CNDL and SPC Brasil indicates that credit cards have become the primary tool for ‘name lending’—where individuals use a third party's credit to make purchases. Among those who would lend their name to others, 25% prefer credit cards due to their immediate access and flexibility, significantly outpacing personal loans.

In Mato Grosso, specifically Cuiabá, the Family Consumption Intention (ICF) index has seen three consecutive declines, dropping from 114.1 points in May to 107.7 points in August. This retraction is linked to increasing difficulty in obtaining credit, with the percentage of families reporting such struggles rising from 40.3% to 48% over the same period. Analysts suggest this may indicate stricter lending criteria by financial institutions and a growing reliance on debt to supplement domestic budgets.