Brazil Credit Stock Ticks Higher as Household Borrowing Costs Soar

Overview

• Total outstanding credit rose 0.9% in November to R$6.972 trillion, with loans to households up 1.2% and to companies up 0.3%.
• New lending contracted 6.6% in November to R$637.5 billion, with declines for both households and firms.
• The systemwide average lending rate reached 31.9% a year, with household credit at 59.4% in the free segment as corporate rates eased to 24.5%.
• Consumer credit remained extremely expensive: 440.5% a year on revolving cards, 141.7% on overdrafts, and 106.6% on non‑payroll personal loans.
• Household indebtedness hit 49.3% of annual income and overall 90‑day delinquency held at 3.8%, as the central bank raised its 2025–2026 credit growth projections to 9.4% and 8.6%.