Nu Holdings Ltd.'s Nubank partnered with Amazon.com Inc.'s
Brazil unit to integrate its NuPay digital payment system into
Amazon.com.br, offering customers additional credit lines and
instalment payments up to 24 months as e-commerce competition
intensifies, the companies announced.
The partnership targeting over 100mn users enables eligible
Nubank customers to access supplementary credit limits specifically
for Amazon purchases, with initial offerings including
interest-bearing instalments. Later rollouts will include
interest-free credit and debit functions for cardholders, according
to El Espectador and company statements.
'This partnership facilitates customer purchases and credit
access, two very important things for Brazilians,' Juliana
Sztrajtman, Amazon Brazil director, stated. The digital bank,
founded by Colombian entrepreneur David Vélez, reported
approximately 123mn customers as of June.
'This partnership combines Nubank's credit platform with
Amazon's unique catalogue, and the result is a new and improved
shopping experience for millions of Brazilian consumers,' said
Fausto Ibarra, Nubank's vice president of digital ecosystem. 'We
see payment flexibility as a decisive factor for online
purchases.'
The announcement underscores escalating competition in Brazil's
e-commerce sector. Amazon recently eliminated logistics fees for
sellers during peak sales periods whilst expanding its Brazilian
product offering to 180mn items from 150mn in October. MercadoLibre
Inc. responded by reducing its free shipping threshold to BRL19
($4.93) and offering BRL100mn ($25.9mn) in coupons for November
purchases.
The Argentine e-commerce giant's Mercado Pago digital bank
reached 72.2mn users in the third quarter, with most business
concentrated in Brazil. The Amazon partnership positions Nubank to
increase interest-bearing instalment revenue, though credit cards
remain its primary product, whilst representing a smaller profit
share.
Interest-free transactions constitute 98.5% of Brazil's credit
and prepaid card volume in the first half of 2025, according to
Abecs, the sector association. The instalment system without
interest, established in the 1990s to replace cheques, represents
41% of national credit and prepaid volume.
Amazon has offered its Prime credit card in Brazil since 2023
through a partnership with Banco Bradesco SA, providing
annual-fee-free cards with Amazon rewards points and interest-free
instalments.
Nubank was founded in Brazil by a Colombian, David Vélez, along
with the Brazilian Cristina Junqueira and the American Edward
Wible.
© 2025 bne IntelliNews, source Magazine
