In recent weeks, we have observed the growth in stricter rules pressure on the online betting industry in Brazil. The central argument revolves around the need to protect the Brazilian from the risk of indebtedness. A legitimate concern, especially in a powerful, newly regulated and mature sector, but has the responsibility to act seriously. However, we need to dive into this scenario and analyze it more depth.
It is important to point out that today the Brazilian is inserted in one of the most expensive consumption credit systems on the planet. Rotary credit card, overdraft, non -payable personal credit - modalities whose interest, in many cases, exceed 300% per year. These rates are often practiced by the same financial groups that now stand as advocates of the population's financial health.
Data from the International Monetary Fund (IMF), published by the World Bank Group, point out that Brazil ed a 31.5%bank spread - the third largest in the world, behind only Madagascar (40.6%) and Zimbabwe (107.5%). Interest Rate Spread, that is, the difference between the interest rate charged on loans and the fee paid in bank deposits, is a clear indicator of distortion in the credit system. In other words, access to money is expensive, especially for those who need it most.
Another relevant point in this discussion is the stance of retail about criticism of the online betting sector, which deserves attention for being contradictory. The discourse refers to concern for indebtedness, but many of these groups maintain business models strongly based on credit supply, often on high interest rates.
The Finance Report 2025 retail shows that, by 2024, retailers with integrated financial operations grew an average of 9.4% in net revenue, compared to 3.1% of those focused only on direct sales of products. Here we refer to Private Label cards, credit and financing that respond for a significant portion of its profitability.
In addition, according to information from the Brazilian Association of Credit Card and Services Companies (ABECS), the card market in Brazil moved more than 4 trillion reais last year (US$720bn)- about 45% of families consumption. In this scenario, criticism of the betting sector can be seen less as a defense of consumer financial health and more as an attempt to preserve retail centrality in income intermediation.
Still on the reflection of the structural weight of this budget system, according to data from the National Confederation of Commerce (CNC) for 2024, the debt of Brazilian families already represents about 30% of GDP.
And when thinking about it, the paradox arises: when the Brazilian bets R$20 reais (US$3.6) in a game, the public debate comes on around the “risk of available income”. But when this same citizen pays R$200 (US$36) of interest due to the card bill, the institutional response is often: “lack of financial education.”
The Panorama Credit research in Brazil, conducted by Fintech Creditas, points out that the main reasons for indebtedness in the country are: unexpected expenses, excessive use of credit card, late payment of bills, unemployment and purchase of specific goods. You can notice a pattern.
It is evident that the betting sector - the same as guiding that bet is not investment but entertainment - needs to be regulated and supervised (thus avoiding the illegal market with more than 50% of participation in Brazil, without any kind of lock and protection to the gambler), such as any other who deals with money and risk. But the discussion about indebtedness needs to be more honest:
Is the concern really with the indebtedness of the Brazilian? Or with the redirection of the available income, which now starts to circulate, outside the traditional financial intermediation channels?
The debate needs to move away from moral rhetoric and focus on concrete data, coherent regulation and equitable conditions between sectors that compete for the budget of Brazilian families. Betting R$ 20 may seem recklessness. But charging three-digit interest per year - and naturalizing it - is the real scandal.
Fernando Vieira
Executive President of the Brazilian Institute of Responsible Game (IBJR)
