Brazil: CADE settles payment system case

As of July 31, customers with Elo cards will be able to complete transactions on other companies’ machines.

CADE signed agreements with payment system Cielo to end exclusivity in the processing of credit or debit purchases.

Currently, customers of Banco do Brasil, Caixa Econômica Federal and Bradesco who have an Elo card can only use them on Cielo machines.

The payment system was created by the three banks in 2011 to compete with Visa and Mastercard, who were the leading competitors in the country.

According to Cade, exclusivity for Elo cards obliges merchants to hire Cielo to accept the cards. According to the agency, the practice undermines free competition in the market for electronic payment means.

Full Content: Regiao Noroeste

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