Nubank to launch credit card with no annual fee in Mexico | Business

O Nubank is expanding outside of Brazil: fintech is going to launch a credit card at the Mexico, where it is called just “Nu”; The card there will be no annual fee or fees. The company has opened a waiting list for those interested, who need a smartphone to control spending via the app.

Nubank credit card

Tarjeta Nu will be available “soon” only for people with documents from Mexico: the registration process is similar to that of Brazil, where it is necessary to have a CPF to apply for a credit card. The waiting list this one.

Nubank will not charge an annual fee or any type of fee. She obtains money in two ways: taking a percentage of each credit card transaction; and charging revolving credit interest if the customer delays the invoice or pays less than the total.

In Mexico, Nubank will distribute Mastercard Gold cards, accepted in 30 million establishments. They have some benefits such as insurance against theft or accidental damage, and extended warranty for products purchased with the card. (In Brazil, fintech distributed Platinum cards at the beginning, which offer travel medical assistance and car rental insurance.)

According to Nubank, only 18 million people in Mexico have a credit card, and more than 36 million still do not have access to the banking system. This is where the company sees an opportunity to expand its business beyond Brazil.

Nubank will also act in Argentina

This is Nubank’s first international launch, and more are to come: the new branch in Argentina will offer digital financial services, which can be a credit card with no annual fee or digital account. Fintech has been raising investments to grow; it is valued at more than $ 10 billion.

In Brazil, Nubank has more than 12 million customers, including NuConta’s. According to the company, 30 million people applied for a credit card with no annual fee between 2014 and 2019. It only abolished the waiting list in July this year.

With information: Nubank.

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