Skip to content

Payment in Chile Consumption Trends Analysis

Behavior Change Signals

1. Accelerated Digital-First Mind-Set

• Cash now represents only 3 % of total retail transactions, the lowest share among the six largest LatAm markets (Banco Central de Chile).
• Retail transactions per capita more than doubled in four years (117 → 279 between 2018-2022), confirming a structural migration to electronic payments.

Impact on the value chain
– Payment Initiation │ Explosive growth of online check-outs, in-app payments and QR use triggers demand for frictionless UX and one-click design.
– Infrastructure & Networks │ Volume surge stresses legacy rails, accelerating upgrades to cloud-based switches and API connectivity.
– Regulation │ Regulators pivot from cash-usage policies to digital-fraud, data-protection and open-banking rule-sets.

2. Mobile & Wallet Centricity

• 22.8 million mobile internet users (Sept 2024) provide the substrate for mobile payments.
• Digital-wallet penetration is <10 % of retail volume but the fastest-growing segment; Mercado Pago alone counts ~5 million Chilean users.

Impact on the value chain
– Acceptance & Wallets │ Acquirers must enable wallet tokens at POS and online; MDR compression intensifies as wallets negotiate sub-2 % rates.
– Authentication │ Tokenisation and device biometrics require issuers/networks to adopt EMV-Co SRC and 3-DS 2.

3. Demand for Flexible Credit & Alternative Tender

• BNPL market USD 651 m (2024) → USD 2.52 bn (2030 e), 23.7 % CAGR (GlobeNewswire Databook).
• Growth fuelled by younger consumers seeking credit outside traditional cards and by merchants aiming to lift conversion rates.

Impact on the value chain
– Processing │ PSPs integrate BNPL APIs; risk assessment shifts from issuer banks to fintech underwriters.
– Clearing & Settlement │ Securitisation of BNPL receivables creates new flows between fintechs, funding partners and capital-market investors.
– Regulation │ CMF preparing specific disclosure and affordability rules.

4. Rise of Account-to-Account (A2A) & Open-Finance Payments

• Webpay bank transfer option already captures 74 % of A2A e-commerce transfers; Khipu holds 16 %.
• 2023 Fintech Law mandates phased open-finance APIs (full by 2027) enabling licensed Payment Initiation Service Providers (PISPs) to trigger instant A2A payments at costs as low as 30-50 bps.

Impact on the value chain
– Initiation │ PISPs bypass card rails, threatening interchange economics.
– Clearing & Settlement │ Volumes migrate from net ACH (ComBanc) to real-time rails (LBTR upgrades or new fast-payment system).
– Business Models │ Interchange++ transparency spreads; merchants arbitrate between card MDR and A2A fees.

5. Instant Gratification: Faster Settlement & Real-Time Visibility

• SMEs increasingly cite T+2/T+3 credit-card settlement as a cash-flow pain-point.
• Wallet ecosystems (e.g., Mercado Pago) already offer intra-wallet same-day settlement; merchants demand similar timelines from acquirers.

Impact on the value chain
– Clearing & Settlement │ Push for intraday or T+0 settlement; acquirers revisit funding models and liquidity costs.
– Infrastructure │ Need for 24/7/365 clearing capabilities and ISO 20022 data standards.

6. Heightened Security & Trust Requirements

• As digital share climbs, phishing and ATO incidents rise; issuers report double-digit growth in fraud attempts 2022-2024.
• 3-D Secure 2.0 rollout completed in 2024; AI/ML fraud-scoring adoption accelerates among banks and gateways.

Impact on the value chain
– Authentication │ Strong Customer Authentication becomes default; behavioural biometrics and token-based vaults proliferate.
– Processing │ Real-time fraud-scoring layers embedded in switches; increases compute costs but lowers chargeback ratios.

7. Price Transparency & Merchant Empowerment

• Unbundling of acquiring (Transbank monopoly dismantled) and new entrants (Getnet, EVO/Bci, Kushki) force disclosure of interchange, scheme and acquirer margin (Interchange++).
• Merchants negotiate MDR <2 % for debit and selected wallet rails.

Impact on the value chain
– Acceptance │ Competitive pricing erodes incumbent margins, shifts focus to value-added services (analytics, BNPL plug-ins, loyalty).
– Regulation │ Central-bank-imposed interchange caps (Oct 2024) compress issuer income, prompting search for new revenue (subscriptions, data monetisation).

8. Integration of Payments with Broader Financial Services

• Businesses, compelled by e-invoicing mandates, seek payment solutions natively linked to ERP, accounting and working-capital tools.
• Consumers expect unified finance apps combining pay, save, invest and insure functionalities.

Impact on the value chain
– Processing & Acceptance │ API-first platforms bundle payments with reconciliation, lending and FX; increases stickiness.
– Infrastructure │ Open-finance data sharing is prerequisite; drives investments in consent management and data-security layers.

9. Inclusion & Accessibility Imperatives

• Despite low cash share, rural, elderly and informal-worker segments remain underserved.
• Digital-literacy programs lag; QR cash-in/cash-out points such as Servipag (9 m tx/month) still critical.

Impact on the value chain
– Initiation & Acceptance │ Hybrid models (cash-in, digital-out) persist; wallet providers partner with agent networks.
– Regulation │ Policy focus on ensuring new rails remain low-cost and ubiquitous (QR interoperability standard under discussion).

Summary Table of Key Findings

# Behavioural Signal Quantitative Evidence Primary Drivers Highest-Impact Value-Chain Steps Strategic Implications for Stakeholders
1 Digital-first shift Cash only 3 % of tx; 279 retail tx per capita Convenience; pandemic habits Initiation; Infrastructure Invest in UX; scale cloud & API capacity
2 Mobile & wallets 22.8 m mobile users; 5 m Mercado Pago users Smartphone ubiquity; token security Acceptance; Authentication Enable wallet tokens; biometric auth
3 BNPL adoption USD 651 m → 2.52 bn (2030e) Credit access; merchant conversion Processing; Regulation Integrate BNPL APIs; monitor credit risk
4 A2A / Open-finance payments 74 % Webpay transfers; Fintech Law APIs by 2027 Cost savings; speed Initiation; Clearing Develop PISP models; renegotiate MDR
5 Faster settlement need SME demand for T+0; wallet same-day Cash-flow pressure Clearing; Infrastructure Build real-time rails; rethink liquidity
6 Security focus Double-digit fraud attempts growth Phishing; remote commerce Authentication; Processing Deploy AI fraud tools; SCA by default
7 Pricing transparency MDR <2 % from new acquirers Competition; regulation Acceptance; Business models Shift to value-added revenue streams
8 Integrated finance tools Mandatory e-invoicing; ERP links Efficiency; data insights Processing; Acceptance Offer embedded finance APIs
9 Inclusion needs Servipag 9 m tx/month Rural/elderly cash reliance Initiation; Regulation Hybrid cash-digital models; literacy programs

References

  1. Banco Central de Chile – Payment systems. https://www.bcentral.cl/web/bch/areas-de-accion/mercado-financiero/sistemas-de-pago
  2. PCMI – Chile 2024: Digital Payments and E-commerce Insights. https://paymentscardsandmobile.com/chile-2024-digital-payments-and-ecommerce-insights/
  3. GlobeNewswire – Chile Buy Now Pay Later Business Databook 2025. https://www.globenewswire.com/news-release/2024/03/05/2839801/0/en/Chile-Buy-Now-Pay-Later-Business-Databook-2025-A-651-Million-Market-in-2024-Expected-to-Reach-871-Million-in-2025-Signaling-Robust-Growth.html
  4. Finnovista – What You Need to Know About Chile’s Fast-Maturing Fintech Market. https://blog.finnovista.com/en/what-you-need-to-know-about-chiles-fast-maturing-fintech-market
  5. APEXX Global – Payment Gateway Chile. https://apexx.global/payment-gateways/latam/chile/
  6. IMF – Fintech and Financial Inclusion in Chile. https://www.imf.org/en/Publications/CR/Issues/2024/02/05/Fintech-and-Financial-Inclusion-in-Chile-in-544502
  7. VIXIO / Banco Central – Setting Final Limits to Card Interchange Fees (Box III.1). https://www.bcentral.cl/documents/33528/1333266/IEF_II_2023_BOX_III_1.pdf
  8. World Bank – Case Study: Chile Fast Payments Toolkit. https://thedocs.worldbank.org/en/doc/2d52795c371322b0682303079c79344b-0320022021/original/Chile-Fast-Payments-Toolkit-Case-Study.pdf
  9. PaymentsCards & Mobile – Leading Payment Methods in Latin America 2025. https://paymentscardsandmobile.com/leading-payment-methods-in-latin-america-2025/
  10. Transbank Company Profile – EMIS. https://www.emis.com/php/company-profile/Chile/Transbank_S.A._5793177.html