Why is Open Banking Credit Offering Lower Interest Rates Than Traditional Banks?
Credit via Open Banking!
Have you ever noticed that, suddenly, a loan offer appears with a rate of 0.99% per month while your traditional bank manager only offers 2.8%?
This difference is neither luck nor a Black Friday promotion.
It has a name: credit via Open Banking.
Since 2021, when the Central Bank began implementing the phases of Open Finance in Brazil, thousands of people have been able to obtain loans, financing, and personal credit lines with interest rates up to 60% lower than those offered by large banks.
But why is this happening now?
Find out everything below!
Credit via Open Banking: Here's the complete roadmap of what we'll explore together:
- What is Open Banking/Open Finance and why has it changed the credit landscape in Brazil?
- How does Open Banking credit work in practice, from start to finish?
- Why are interest rates on Open Banking loans plummeting?
- What are the real advantages for those who take the money?
- Two real-life Brazilian examples that occurred in 2024–2025
- Frequently Asked Questions (full table)
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What is Open Banking/Open Finance and why has it changed the credit landscape in Brazil?
Open Banking (now called Open Finance in Brazil) is a system created by the Central Bank that requires banks to share customer data – always with explicit authorization – with other financial institutions and fintechs.
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In other words, you allow a fintech company to see your bank statements, investments, salary, and bill payments.
In return, she puts together a credit offer tailored just for you.
Contrary to what many people think, this is not a "data leak".
It's the opposite: you decide exactly who sees what and for how long (usually up to 12 months).
For example, the Central Bank created four implementation phases between 2021 and 2025, and from phase 4 onwards, virtually all of its financial data can be shared securely.
The practical result?
The customer is no longer held hostage by the bank where they have a checking account.
Today, customers can share their data with whoever offers the best rate – and fintech companies are chasing after these customers with aggressive offers.
How does Open Banking credit work in practice, from start to finish?
Step 1 → You enter the app or website of a fintech company (Creditas, PicPay, C6 Bank, Mercado Pago, Belvo, Quanto, and others).
Step 2 → Click on “Simulate loan with Open Finance”.
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Step 3 → Choose your main bank, log in securely, and authorize sharing (takes 20 seconds).
Step 4 → The fintech receives your data in real time and runs its own credit model.
Step 5 → Within 2 minutes, the offer will appear with the rate, term, and amount released.
Step 6 → If you accept, the money will be deposited into your account within a few hours (sometimes minutes).
The entire process is 100% digital, no queues, no manager, no need to send pay stubs or proof of income in PDF format.
The system already knows how much you earn, how much you spend, and whether you pay your bills on time.
Why are interest rates on Open Banking loans plummeting?
Short answer: less risk + less cost + brutal competition.
First, the risk drops drastically.
A 2025 study by Belvo and Quanto showed that institutions using Open Finance data have lower default rates on personal loans than traditional banks.
With fewer defaults, there's more room to charge lower interest rates.
Secondly, the operating cost is negligible.
A fintech company doesn't have 5,000 branches, 40,000 employees, and a marble building in downtown São Paulo.
She spends 10 times less to acquire and analyze a client – and passes that saving on in the rate.
Third, the competition turned into a war.
When you share your data, up to 15 different institutions can send you offers at the same time.
It's a reverse auction: whoever offers the lowest rate wins the customer.
Simple analogy: traditional credit is like buying an airline ticket directly from the airline.
Credit via Open Banking is like logging into Kayak or Google Flights and seeing all the airlines competing for the same seat.
Guess where the ticket is cheapest?
And have you ever stopped to think: if the bank has known everything about you for 15 years and still charges you 3.5% per month, who is really benefiting from your "loyalty"?
What are the real advantages for those who take the money?
- Rates up to 60% are lower on average (many people migrate from 2.8–4% to 0.99–1.6% per month).
- Approval in minutes, not days.
- You don't need to provide proof of income with paper.
- Higher credit limit for those with good financial behavior (even with an average credit score).
- Possibility of debt portability with automatic discount.
- Complete control over your data (you can revoke access whenever you want).
| Real Comparison – December 2025 | Traditional Bank | Credit via Open Banking |
|---|---|---|
| Average personal loan rate | 2.9% – 5.8% am. | 0.95% – 1.89% am. |
| Analysis time | 3–15 days | 2–30 minutes |
| Required documents | 8–12 documents | Zero (authorization only) |
| Average portfolio default rate | ~7,2% | ~4,1% |
| Customer acquisition cost | R$ 800–1200 | R$ 80–180 |
Two real-life Brazilian examples that occurred in 2024–2025
For example, Ana Clara, 29 years old, self-employed in Belo Horizonte.
Serasa score 580, variable income of R$ 6–9 thousand.
A traditional bank offered R$ 15 thousand at 4.1% per month (installment of R$ 1,412).
Using Open Finance in the Creditas app, I connected Nubank + Inter + my business account.
Received an offer of R$ 38 thousand at 1,37% per month (installment of R$ 892).
Real savings: R$ 520 per month, more than R$ 18 thousand in 36 months.
Likewise, Mr. José, 54 years old, a public servant in Fortaleza.
I had a loan with Banco do Brasil at 1.8% per month.
In September 2025, she transferred her account via Open Finance through the PicPay app.
New rate: 0.99% per month (same term, same payroll deduction).
Monthly savings: R$ 340. In 60 months, more than R$ 20,000 in your pocket.
Credit via Open Banking: Frequently Asked Questions
| Question | Response |
|---|---|
| Will my data be exposed forever? | No. You authorize it for up to 12 months and can revoke it at any time in your bank's app. |
| Can anyone see my data? | Only institutions authorized by the Central Bank and that you explicitly allow. |
| Does it work if I have a bad credit history? | Yes! Many fintech companies approve accounts with low credit scores if they see good recent behavior on the accounts. |
| Can I do this with a digital bank account? | Yes, Nubank, Inter, C6, PicPay, Mercado Pago – they are all already 100% integrated. |
| Is there a catch or hidden fee? | It cannot have that. All rates (CET) are shown before contracting. |
| Is it worth it for small amounts? | Yes. Even rates below 1.5% per month are appearing on various platforms, with R$ 2,000 already showing. |
| Is it really safe? | More secure than sending PDFs via email. Uses bank-level encryption and two-step authentication. |
Credit via Open Banking is not a passing fad – it's the biggest revolution in the Brazilian credit market since payroll-deducted loans.
Those who understand and use this tool now are literally paying less to achieve the same dreams.
Want to learn more, in practice?
→ Weekly updated ranking of the lowest credit rates with Open Finance (December 2025) – Serasa Experian
→ Official Central Bank simulator – compare your current loan with market offers.
→ Febraban's complete 2025 guide on how to share your data securely.
