The Central Bank is about to launch a new payment method that could shake up the market and transform the way Brazilians make their purchases

The Central Bank's new payment method that threatens the reign of credit cards

O The Central Bank of Brazil is about to launch a new form of payment that promises to shake up the market and change the way we shop in the country.. The new feature has a name: Pix Garantido. With an innovative proposal, it arrives to make life easier for consumers and merchants, offering a more practical and affordable alternative compared to traditional credit cards. But can he really threaten the cards' reign?

What is Pix Garantido?

Pix Guaranteed is an extension of the Pix instant payment system, but with a difference that draws attention: the possibility of making payments in installments. With it, the consumer can schedule a payment for a future date or even pay for the purchase in installments, without having to resort to credit cards. This brings enormous flexibility, especially for those who do not have access to traditional lines of credit.

This new format from the Central Bank comes with the proposal of democratizing access to credit in Brazil. And the best part? Without all the bureaucracy and high costs that credit cards usually involve.

Pix Guaranteed vs. Credit Card: which one is better?

There's no way to talk about Pix Garantido without comparing it to credit cards, right? After all, these are two options that, in theory, compete directly.. Pix Garantido, from the Central Bank, offers some very attractive advantages:

Reduction of fees: As there are fewer intermediaries in the process, the cost for the consumer and the merchant tends to be much lower.

fast processing: Just like traditional Pix, transactions are made quickly, without waiting days for compensation.

Accessibility: For those who don't have a credit card or who prefer not to use one, Pix Garantido becomes a simple and efficient solution.

Fernando Nunes, CEO of fintech Transfeera, has already highlighted that Pix Garantido can be a more economical option, with much lower rates than those charged by credit card operators. So, you can understand why he is getting so much attention.

But will the Central Bank's Guaranteed Pix replace the credit card?

That's the big question, right? Does Pix Garantido have the power to replace credit cards? The truth is, it depends. For small, everyday purchases, the new payment method can be much more practical. But, for those who like to accumulate miles or have cashback benefits, credit cards still have their place guaranteed.

What experts believe is that these two payment methods will coexist. Pix Garantido should dominate smaller transactions, while credit cards continue to be preferred for higher-value purchases or for those seeking these additional benefits.

Challenges ahead

Despite all these advantages, implementing the Central Bank's Guaranteed Pix will not be such a simple task. One of the biggest challenges will be the adaptation of small merchants, who may take a while to accept this new form of payment.

Furthermore, the public's financial education will be essential. Abecs (Brazilian Association of Credit Card and Services Companies) is already keeping an eye on this, reinforcing the need to educate consumers to avoid the disorderly accumulation of debts, which can end up becoming a trap for those who do not know how to use credit responsibly.

A more inclusive future

One of the biggest advantages of Pix Garantido is financial inclusion. With it, millions of Brazilians who currently do not have access to credit will be able to make purchases on credit, without having to go through the bureaucracy of credit cards. This means more people in the market, more consumption and, of course, more opportunities for commerce in general.

The future of Pix Garantido looks very promising. Whether or not it will replace credit cards, only time will tell.. But the fact is that it is here to stay and will certainly be an essential tool for those looking for a cheaper and more accessible alternative.

New payment method from the Central Bank will shake things up

This new payment method from the Central Bank may not completely dethrone credit cards, but it has certainly shaken the throne.. Now, It's a matter of waiting to see how the market will adapt to this revolution. in financial transactions.

So, what do you think of this new payment method? Do you think it Guaranteed Pix has the strength to really threaten the credit cards Or will they continue to reign supreme in everyday shopping? Comment below, I want to know your opinion!