The service is being launched with local banks Sicredi, Banco do Brasil and Nubank as initial partners.
Facebook has chosen Brazil for the global launch of its digital payments offering. The functionality is being gradually introduced today (5) on WhatsApp, in what is one of the world’s largest markets for the company.
Through the payments service Facebook Pay, which should be extended to the firm’s family of apps, Brazilian users and small businesses will be able to send or receive money up to 20 times a day. Transactions will only take place in Brazil and will be capped at BRL 1000 (USD 194) a day and BRL 5000 (USD 973) a month.
Individual consumers can set up an account to transact through the messaging app, providing details such as name and social security number, which will be linked to a Visa or Mastercard debit or credit card from local banks Sicredi, Banco do Brasil or Nubank, a challenger bank. A six-digit PIN or fingerprint will be required to complete transactions.
The three institutions are offering the functionality at the time of launch, though other companies will be able to join the platform to provide their clients with the ability to transact via WhatsApp in the future. The transactions are intermediated by payments processor Cielo.
Small and medium businesses need to create a Cielo account using the WhatsApp Business app, which was introduced in January 2018 in Brazil, to receive payments from customers.
