Mexico City. Mercado Pago, the fintech of the Latin American e-commerce giant Mercado Libre, announced this Wednesday that it has applied to the Mexican authorities for a banking license, with which it will seek to become the largest digital bank in the country.
At the end of last year, one of its main competitors, the Brazilian Nubank, announced that its Mexican subsidiary had requested a license to operate as a multiple banking institution. And London-based Revolut said in April it had obtained a banking license in Mexico, Latin America’s second-largest economy behind Brazil.
“We officially began the path of transforming Mercado Pago into the number 1 digital bank in Mexico, which will allow us to innovate and expand the financial services that millions of people in Mexico need,” said Pedro Rivas, general director of Mercado Pago, quoted in a company statement.
After collecting, reviewing and complying with the requirements, Mercado Pago sent the documentation to the National Banking and Securities Commission (CNBV) in mid-September, the company said, marking the starting point for obtaining the license.
In May, Rivas had estimated that obtaining the license could take between 12 and 24 months.
Currently, Mercado Pago has debit and credit cards, offers daily returns on the balance available in your digital account, provides personal loans and financing to SMEs, in addition to the option of receiving remittances.
The license would allow it to expand its product portfolio and attract resources from the public through checking accounts, savings accounts or fixed-term deposits, to later place them in credit operations such as commercial, mortgage and other loans.
Founded in 2003, Mercado Pago operates in Argentina, Brazil, Chile, Colombia, Mexico, Peru and Uruguay, and processes more than 15 million transactions per day.
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– 2024-10-06 00:12:52
