# Latin America Payment Methods
Source: https://paymentsandrisk.com/docs/payments/payment-methods/regional/latin-america

Last updated 22 October 2026.

TL;DR

-   Pix processed 63.4 billion transactions in 2024, according to [Febraban's 2025 banking survey, citing the central bank](https://cmsarquivos.febraban.org.br/Arquivos/documentos/PDF/Pesquisa%20Febraban%20de%20Tecnologia%20Banca%CC%81ria%202025%20-%20Vol_2%20-%20VF.pdf#page=17) (REPORTED, banking-industry report; accessed 22 October 2026). That's system-wide activity. Test your own Brazil checkout demand
-   OXXO (Mexico) and Boleto (Brazil) are cash-based methods with 1-3 day settlement delay; they're slow but essential for the large unbanked population
-   Local processors (dLocal, EBANX, Mercado Pago) handle tax compliance and local payment methods for LATAM without requiring you to establish local entities
-   Add LATAM payment methods when 10%+ of your customers come from Brazil or Mexico; cross-border card acceptance covers the rest adequately

Some customers need a way to pay without a card. In Brazil, compare Pix and Boleto with your card checkout. In Mexico, test whether customers use OXXO vouchers and actually pay them. Track total checkout completion by country before keeping a method.

## When to Add LATAM Payment Methods

**Add LATAM methods when:**

-   10%+ of customers are from Brazil or Mexico
-   Cart abandonment is high in LATAM countries
-   You're using Stripe, Adyen, or dLocal
-   You can handle 3-5 day settlement delays (cash-based methods)

**Skip LATAM methods when:**

-   Under 5% LATAM customers
-   You're on Square or US-only processor
-   You can't ship to LATAM or have no local pricing
-   Your product is under $20 (cash methods have high fees)

Between 5% and 10%, wait. Each method is 4-8 hours to integrate and a permanent line in your reconciliation.

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## Processor Support for LATAM Methods

| Method | Stripe | Shopify Payments | Square | Adyen | dLocal |
| --- | --- | --- | --- | --- | --- |
| **Pix (Brazil)** | ✅ | ✅ | ❌ | ✅ | ✅ |
| **Boleto (Brazil)** | ✅ | ✅ | ❌ | ✅ | ✅ |
| **OXXO (Mexico)** | ✅ | ✅ | ❌ | ✅ | ✅ |
| **Mercado Pago** | ❌ | ❌ | ❌ | ✅ | ✅ |

**Bottom line**: Stripe and Shopify Payments cover the big three (Pix, Boleto, OXXO), which is what most merchants need. For Mercado Pago, use Adyen or dLocal.

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## Pix (Brazil)

### What It Is

Pix is Brazil's **instant payment system** launched in 2020:

-   QR code or account key
-   Instant transfer (under 10 seconds)
-   24/7 availability
-   Works from any Brazilian bank account

**Customer demand**: Check Pix requests, selections and confirmed payments in your Brazilian checkout. National use doesn't tell you how many of your customers will choose it online.

### Why It Matters

**Measure your Brazil checkout mix**:

-   Pix: selections, confirmed payments and completed orders
-   Cards: selections, approvals and completed orders
-   Boleto: vouchers issued, vouchers paid and completed orders

The Stripe result below concerns conversion, not a national share. Don't use a payment-share range as lost sales or predicted lift.

Stripe says businesses offering Pix see up to 38.3% higher conversion from customers in Brazil ([VENDOR, June 4, 2026](https://stripe.com/blog/new-ways-to-turn-global-demand-into-revenue), accessed October 22, 2026). That's Stripe's published result, not a promise for your Brazilian traffic. Compare matched checkouts before budgeting a lift.

### Implementation (Stripe)

**Effort**: 4-8 hours

**Steps**:

1.  Enable Pix in Stripe dashboard
2.  Add Pix to checkout
3.  Generate QR code for customer
4.  Customer scans with their banking app
5.  Instant payment confirmation
6.  Fulfill order

**Stripe fee**: 1.4% + R$0.45

### Pricing Comparison

**R$100 transaction in Brazil**:

-   Pix: 1.4% + R$0.45 = R$1.85 (1.85% effective)
-   Card: 2.9% + R$2 = R$4.90 (4.9% effective)
-   **Pix saves: R$3.05 per transaction**

**Pix is significantly cheaper than cards** for Brazilian transactions, and R$3.05 per R$100 moves unit economics. Put it first in the checkout.

### Gotchas

1.  **Instant payment, delayed settlement**: Customer pays instantly, but you receive funds in T+1-3.
2.  **QR code expiration**: Pix QR codes expire in 15-60 minutes. Build refresh logic.
3.  **Refunds are separate**: Pix refunds are new transactions (not reversals).
4.  **Brazil-only**: Only works for Brazilian bank accounts.

None of these are reasons to skip Pix.

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## Boleto (Brazil)

### What It Is

Boleto is Brazil's **cash voucher payment system**:

-   Customer gets barcode at checkout
-   Pays cash at bank, lottery kiosk, or online banking
-   Payment confirmation in 1-3 days

**Used by**: Brazilians without credit cards or who prefer cash.

### Why It Matters

**Boleto can reach customers who want a voucher.** Track vouchers issued, payments confirmed and requests from customers who can't use your other methods.

**Add it when that demand covers the work.** Compare total checkout completion with Pix and cards, after the voucher's payment window closes.

### Implementation (Stripe)

**Effort**: 4-8 hours

**Steps**:

1.  Enable Boleto in Stripe
2.  Add to checkout
3.  Generate Boleto voucher
4.  Customer pays at bank/kiosk
5.  Confirmation received (1-3 days)
6.  Fulfill order

**Stripe fee**: 2.95% + R$2

### Pricing Comparison

**R$100 transaction**:

-   Boleto: R$4.95 (4.95% effective)
-   Card: R$4.90 (4.9% effective)
-   **Similar cost to cards**

Boleto costs what a card costs. The case for it is reach, not savings.

### Gotchas

1.  **Payment delay**: 1-3 days for customer to pay. Hold fulfillment until confirmed.
2.  **Expiration**: Boletos expire in 3-30 days. Customer may forget to pay.
3.  **Non-payment rate**: Track Boletos paid versus issued after their payment window closes; don't count an unpaid voucher as a sale
4.  **Can't refund**: Boleto is cash. Refunds require issuing new Boleto or bank transfer.
5.  **Demand may overlap with Pix**: Check whether Boleto adds completed purchases or moves orders from another method.

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## OXXO (Mexico)

### What It Is

OXXO is **cash payment at convenience stores** in Mexico:

-   Customer gets voucher at checkout
-   Pays cash at any OXXO store (20,000+ locations)
-   Confirmation in 1-3 days

**Used by**: Customers who prefer cash or can't use a card online. Check your own customer requests before adding it.

### Why It Matters

**Measure your Mexico checkout mix**:

-   Cards: selections, approvals and completed orders
-   OXXO: vouchers issued, vouchers paid and completed orders
-   Other methods: requests and confirmed payments

**Without OXXO, some customers can't use their preferred method.** Test total checkout completion in your Mexican traffic; method share isn't the share of sales you'd lose.

### Implementation (Stripe)

**Effort**: 4-8 hours

**Steps**:

1.  Enable OXXO in Stripe
2.  Add to checkout
3.  Generate OXXO voucher with barcode
4.  Customer pays at OXXO store
5.  Confirmation received (1-3 days)
6.  Fulfill order

**Check Stripe's account-country price.** VENDOR Its [Mexico list](https://stripe.com/en-mx/pricing/local-payment-methods), opened 22 October 2026, shows **4% + MXN$3.00 for OXXO**, excluding IVA. The assumed fees below aren't that rate card.

### Pricing Comparison

**Worked example with assumed fees: MX$500 transaction**:

-   OXXO: MX$500 x 1.85% + MX$11 = MX$20.25 (4.05% effective)
-   Card: MX$500 x 2.9% + MX$6 = MX$20.50 (4.1% effective)
-   **OXXO is MX$0.25 cheaper under these assumptions**

**On small transactions, the assumed OXXO fixed fee hurts.** The crossover is (MX$11 - MX$6) / (2.9% - 1.85%) = **MX$476.19**. OXXO is cheaper above that, cards below it. Use your actual fees before choosing.

### Gotchas

1.  **Payment delay**: Customer must physically go to OXXO. 1-3 days is normal.
2.  **Non-payment rate**: Track OXXO vouchers paid versus issued after their payment window closes
3.  **Cash-only**: Can't refund to OXXO. Must issue bank transfer or new voucher.
4.  **Mexico-only**: Only works in Mexico.
5.  **Expiration**: Vouchers expire in 3-7 days typically.

Treat the voucher as an invoice, not a sale.

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## Implementation Priority for LATAM

**If you have LATAM customers, add in this order:**

### Tier 1: Must-Have

| Country | Method | Priority |
| --- | --- | --- |
| **Brazil** | Pix | P0 - Test demand and confirmed payments |
| **Mexico** | OXXO | P0 - Test paid vouchers and total completion |

### Tier 2: Should-Have

| Country | Method | Priority |
| --- | --- | --- |
| **Brazil** | Boleto | P1 - If customer demand adds paid orders |
| **Argentina** | Mercado Pago | P1 - If material ARG volume |

### Tier 3: Nice-to-Have

| Country | Method | Priority |
| --- | --- | --- |
| **Colombia** | PSE | P2 - If expanding to Colombia |
| **Chile** | Servipag | P2 - If expanding to Chile |
| **Peru** | PagoEfectivo | P2 - If expanding to Peru |

**Start with the countries where you have demand.** Compare Brazil and Mexico in your own sales and checkout data. Add the Tier 3 methods when you're actually expanding into those countries.

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## Cash Method Operational Considerations

### Payment Delays

Cash methods (Boleto, OXXO) have settlement delays:

| Method | Customer Pays | You Receive Funds | Fulfillment Timing |
| --- | --- | --- | --- |
| **Pix** | Instant | T+1-3 | Can ship immediately |
| **Boleto** | 1-3 days | T+3-5 after payment | Wait for confirmation |
| **OXXO** | 1-3 days | T+3-5 after payment | Wait for confirmation |

**Risk**: Fulfill before payment and the customer may never pay. A generated voucher isn't payment confirmation.

**Best practice**: Wait for payment confirmation before shipping.

### Non-Payment Rates

Customers generate vouchers but never pay:

| Method | How to Measure Non-Payment |
| --- | --- |
| **Pix** | Unpaid QR codes / issued QR codes after expiry |
| **Boleto** | Unpaid vouchers / issued vouchers after expiry |
| **OXXO** | Unpaid vouchers / issued vouchers after expiry |

**Factor this into forecasting**: Use your own paid-to-issued rate after each payment window closes. Count confirmed payments, not vouchers issued.

### Refund Complexity

| Method | Refund Process | Timeline |
| --- | --- | --- |
| **Pix** | Separate Pix transfer | 1-2 days |
| **Boleto** | Cannot refund; issue bank transfer | 5-10 days |
| **OXXO** | Cannot refund; issue bank transfer | 5-10 days |

**You can't refund cash methods the same way as cards.** Build the separate refund workflow before launch, not after the first refund request.

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## Test to Run

**LATAM payment method ROI calculator:**

**Week 1: Geography analysis**

1.  Calculate % of revenue from:
    -   Brazil: \_\_\_\_%
    -   Mexico: \_\_\_\_%
    -   Other LATAM: \_\_\_\_%

**Week 2: Method selection** 2. Brazil over 10%? Add Pix + Boleto 3. Mexico over 10%? Add OXXO 4. Estimate adoption from a small country-specific test:

-   Brazil: Track Pix and Boleto selection, confirmed payments and total checkout completion
-   Mexico: Track OXXO selection, confirmed payments and total checkout completion

**Week 3: ROI calculation** 5. **Worked example, assumed inputs, not a forecast:** $50K/month baseline Brazil sales

-   Assume a matched test finds a 40% relative conversion lift, with average order value unchanged
-   Additional revenue: $50K × 40% = $20K/month before fees, returns and fulfillment costs
-   Method adoption isn't an extra multiplier on that measured total-checkout lift

6.  Implementation cost: 8-16 hours
7.  Payback: Compare incremental gross profit with implementation and ongoing costs

**Success criteria**: Total checkout completion improves against a matched country, device and customer baseline, and incremental gross profit covers the added costs. Track confirmed payments and non-payment separately.

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## Scale Callout

**Under $50K/month, under 10% LATAM:**

-   Skip LATAM methods
-   Cards + PayPal work fine
-   Focus on US market

**$50K-$250K/month, 10-20% LATAM:**

-   Add Pix for Brazil
-   Add OXXO for Mexico
-   Skip Boleto unless Brazil is 20%+

**$250K-$1M/month, 20%+ LATAM:**

-   Full method suite (Pix, Boleto, OXXO)
-   Consider local pricing in BRL/MXN
-   Monitor non-payment rates

**Over $1M/month, 30%+ LATAM:**

-   Consider dLocal or Adyen for local acquiring
-   Add country-specific methods (Mercado Pago, PSE, etc.)
-   Optimize for regional fraud patterns

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## Where This Breaks

1.  **Fraud on cash methods**: Pre-payment fraud is different. Customers can generate fake vouchers, you ship, payment never arrives.

2.  **Currency volatility**: BRL and MXN are volatile, and whether you price in local currency or in USD, both have trade-offs.

3.  **Tax complexity**: Brazil has complex tax rules (ICMS, PIS, COFINS). Research them before launching, or let a local processor like dLocal or EBANX carry the compliance for you.

4.  **Shipping costs**: LATAM shipping is expensive and slow. Factor this into unit economics.

5.  **Customer support in Portuguese/Spanish**: Boleto and OXXO customers expect local-language support.


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## Next Steps

**Ready to launch in LATAM?**

1.  Set up Pix and Boleto for Brazil (Stripe dashboard)
2.  Set up OXXO for Mexico
3.  Test payment flows with Stripe test accounts
4.  Monitor non-payment rates closely

**Want to optimize LATAM?**

1.  Add local currency pricing (BRL, MXN)
2.  Implement payment method ordering by customer location
3.  Build cash method non-payment tracking

**High-volume LATAM?**

1.  Consider [dLocal](https://dlocal.com/) for local acquiring
2.  Add country-specific methods
3.  Implement fraud rules for cash method abuse

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## See Also

-   [Regional Payment Methods](https://paymentsandrisk.com/docs/payments/payment-methods/regional/) - Overview
-   [Going Global](https://paymentsandrisk.com/docs/payments/going-global/) - International expansion
-   [Stripe](https://paymentsandrisk.com/docs/payments/processors/stripe/) - Easiest LATAM implementation
-   [Adyen](https://paymentsandrisk.com/docs/payments/processors/adyen/) - Enterprise LATAM processing
-   [Processor Comparison](https://paymentsandrisk.com/docs/payments/processor-comparison/) - dLocal, Mercado Pago rates
-   [FX and Settlement](https://paymentsandrisk.com/docs/payments/reference/fx-and-settlement/) - Multi-currency considerations