# MercadoLibre and fintechs face usury and debt scrutiny > Live situation record from CLSTR: https://clstr.news/situations/mercadolibre-growth-and-investor-outlook > Updated: 2026-09-10T01:38:08.000Z. Sources: 73. Developments: 15. By late August 2026, MercadoLibre and other fintech platforms faced intensifying legal and social scrutiny in Argentina regarding usury and aggressive debt collection. While MercadoLibre reported record Q2 revenue of $10.2 billion, its financial services business has become a focal point of controversy, accounting for 64.3% of its total revenue in Argentina. Former legislator Gabriel Solano has escalated legal actions, alleging usury under Article 175 bis of the Penal Code. Solano requested that authorities provisionally suspend all loan collections through Mercado Pago and Mercado Crédito, accusing the board of exploiting users with interest rates that can exceed 1,375%. In September 2026, the legal pressure intensified as the Asociación de Consumidores Financieros de la República Argentina (ACFRA) filed a lawsuit in the National Commercial Court of Buenos Aires. Represented by attorney Diego Espasandín, the action seeks an audit of operations from the last three years and the restitution of improperly charged amounts, a ruling that could potentially impact approximately 7 million users. The lawsuit originated from individual cases, including one instance where a user reportedly repaid 127,000 pesos on an 8,000 peso loan. Mercado Pago has responded by stating that each loan is evaluated through its own risk system and that the highest costs apply primarily to low-amount credits for clients with limited credit history, which they claim represents only 2% of their loans. Social unrest has also escalated, with organizations such as the Movimiento Evita holding protests at MercadoLibre headquarters. Demonstrators criticized the company for utilizing financial deregulation to engage in predatory lending, arguing that vulnerable populations are forced to use these loans for basic necessities like food and transportation, thereby fueling systemic household debt. This follows a surge in delinquency rates, which rose from 7.3% in November 2024 to 30.1% by June 2026, according to the Centro CEPA. ## Claims - The total effective annual cost of these loans can exceed 1,300%. (disputed) - The total effective cost (CET) for loans can reach up to 1,375.94% annually. (disputed) - Net profit was $466 million, down about 11% year‑on‑year. (corroborated by 15 sources) - Quarterly revenue was $10.2 billion, up 50% year‑on‑year and above the $9.7 billion analyst estimate. (corroborated by 15 sources) - Gross merchandise volume (GMV) rose 36% on a forex‑neutral basis. (corroborated by 15 sources) - EBIT was $683 million, down 17% year‑on‑year. (corroborated by 15 sources) - Higher free‑shipping costs in Brazil contributed to margin pressure. (corroborated by 15 sources) - The credit portfolio grew to $16 billion, a 75% increase in dollar terms. (corroborated by 15 sources) - Active users of both the e‑commerce platform and Mercado Pago grew 37% year‑on‑year. (corroborated by 15 sources) - Shares fell about 4‑5% in after‑hours trading following the earnings release. (corroborated by 14 sources) - Gabriel Solano requested the judiciary to suspend loan collections by Mercado Pago. (corroborated by 2 sources) - The loans provided by Mercado Pago are accused of usury. (corroborated by 2 sources) ## Timeline ### 2026-09-10: Mercado Pago faces lawsuit over alleged 1,300% annual interest rates Mercado Pago faces a lawsuit in Argentina alleging abusive interest rates exceeding 1,300% annually, a legal action that could potentially affect seven million users. 15 sources. https://clstr.news/cluster/mercado-pago-faces-lawsuit-over-alleged-1300-annual-interest-rates ### 2026-09-07: MercadoLibre revenue exceeds $10 billion in Q2 2026 MercadoLibre's Q2 2026 revenue surpassed $10 billion, up 50% year-over-year, driven by strong growth in its e-commerce and Mercado Pago fintech ecosystem despite pressure on operating margins. 2 sources. https://clstr.news/cluster/mercadolibre-revenue-exceeds-10-billion-in-q2-2026 ### 2026-08-26: Argentina faces rising household debt and fintech investigations Argentina faces record household debt and rising delinquency, prompting the Buenos Aires province to investigate fintech companies for predatory lending and high interest rates. 9 sources. https://clstr.news/cluster/buenos-aires-province-investigates-fintech-companies-over-consumer-complaints ### 2026-08-24: Mercado Libre faces criticism over predatory lending and debt collection Users in Argentina report harassment and predatory interest rates from Mercado Libre’s digital credit services, amid allegations of efforts to downplay the social impact of the company's lending model. 4 sources. https://clstr.news/cluster/mercado-libre-faces-criticism-over-predatory-lending-and-debt-collection ### 2026-08-19: Mercado Pago faces legal request to suspend loan collections over usury claims Argentine activist Gabriel Solano has requested a judicial suspension of Mercado Pago loan collections, alleging usury due to annual interest rates reaching up to 1,375.94%. 7 sources. https://clstr.news/cluster/mercado-pago-faces-legal-request-to-suspend-loan-collections-over-usury-claims ### 2026-08-12: Mercado Libre faces usury complaint over high interest rates in Argentina Former legislator Gabriel Solano has filed a usury complaint against Mercado Libre, alleging Mercado Pago charges interest rates exceeding 1,375% annually in Argentina, significantly higher than in Brazil. 6 sources. https://clstr.news/cluster/mercado-libre-faces-usury-complaint-over-high-interest-rates-in-argentina ### 2026-08-11: MercadoLibre receives “Moderate Buy” consensus from analysts MercadoLibre, Inc. holds a “Moderate Buy” consensus rating from analysts, with an average 12-month price target of $2,255 following strong quarterly earnings of $9.19 per share. 2 sources. https://clstr.news/cluster/mercadolibre-receives-moderate-buy-consensus-from-analysts ### 2026-08-08: Mercado Libre shares fall on Wall Street despite record revenues Mercado Libre shares dropped over 5% on Wall Street despite record revenues, as investors reacted to narrowing profit margins and continued heavy investment to combat competition in Brazil. 10 sources. https://clstr.news/cluster/mercado-libre-shares-fall-on-wall-street-despite-record-revenues ### 2026-08-05: MercadoLibre posts record Q2 revenue as profit falls 11% amid free‑shipping costs MercadoLibre’s Q2 revenue hit $10.2 bn (+50 %) but net profit fell 11 % to $466 m; free‑shipping costs in Brazil and credit‑card provisions squeezed margins. 22 sources. https://clstr.news/cluster/portuguese-banks-post-mixed-firsthalf-2026-earnings-montepio-profit-down-17 ### 2026-08-03: Institutional investors shift stakes in MercadoLibre, including new $3.5 M purchase by Militia Capital Militia Capital bought $3.5 M of MercadoLibre shares while AMS Capital sold $18.9 M, as other investors adjusted holdings and analysts tweaked price targets. 2 sources. https://clstr.news/cluster/institutional-investors-shift-stakes-in-mercadolibre-including-new-35-m-purchase-by-militia-capital ### 2026-07-31: MercadoLibre stock draws investor attention ahead of Q2 earnings MercadoLibre shares are down 25% as profit margins shrink; investors eye the Aug. 5 Q2 earnings. Institutional holders like Axiom add positions, while JPMorgan and Barclays cut price targets. 2 sources. https://clstr.news/cluster/mercadolibre-stock-draws-investor-attention-ahead-of-q2-earnings ### 2026-07-26: MercadoLibre Posts Robust Revenue Growth While Margins Narrow MercadoLibre posted 49% revenue growth but saw operating margin drop 20% as logistics costs rose; Clough Capital sold 1,195 shares while director Aguzín bought 600, drawing mixed analyst reactions. 2 sources. https://clstr.news/cluster/mercadolibre-posts-robust-revenue-growth-while-margins-narrow ### 2026-07-23: MercadoLibre shares fall 10% YTD as analysts project 55% upside MercadoLibre shares dropped 10% YTD; Scotiabank sees 55% upside with a $2,800 target. Institutional investor PBCay One RSC Ltd increased its stake, while analysts adjusted ratings and price goals. 3 sources. https://clstr.news/cluster/mercadolibre-shares-fall-10-ytd-as-analysts-project-55-upside ### 2026-07-18: MercadoLibre Attracts Investor Interest as Ratings Shift and New Stakes Rise Analysts flag MercadoLibre as a growth stock amid revenue gains; institutional investors add new stakes and analysts adjust ratings and price targets. 2 sources. https://clstr.news/cluster/mercadolibre-attracts-investor-interest-as-ratings-shift-and-new-stakes-rise ### 2026-07-13: MercadoLibre projected to join $50 B revenue club as analysts boost outlook Analysts project MercadoLibre to hit $50 B revenue by 2027, citing strong e‑commerce and fintech growth; Safra cuts price target but keeps a bullish outlook. 2 sources. https://clstr.news/cluster/mercadolibre-projected-to-join-50-b-revenue-club-as-analysts-boost-outlook --- Cite as: MercadoLibre and fintechs face usury and debt scrutiny. CLSTR, https://clstr.news/situations/mercadolibre-growth-and-investor-outlook