Share the article
twitter-iconcopy-link-iconprint-icon
share-icon
FintechFebruary 24 2023

Brazil’s PIX payment system teaches us a valuable lesson

With great potential to promote competition, being cheap, universal and consumer-friendly is key to instant payment systems’ success – an approach the US’s anticipated FedNow should take into account. By Sergey Sarkisyan of the Wharton School, University of Pennsylvania.
Share the article
twitter-iconcopy-link-iconprint-icon
share-icon
Brazil’s PIX payment system teaches us a valuable lessonImage: Getty Images

The process of making money transfers and payments often comes with numerous complications for consumers. For example, merchants pass credit and debit card fees onto consumers and sometimes do not accept digital means of payment at all.

Even platforms like Venmo and PayPal, which offer payment transfer services, can take a long time to process payments before funds are made available in the destination bank account. Small bank and fintech company clients may face even more constraints if their banks do not participate in any payment platform.

To continue reading, join our community and benefit from

  • In-depth coverage across key markets
  • Comments from financial leaders and policymakers worldwide
  • Regional/country bank rankings and awards
Activate your free trial