Credit
Defaults hit a record: 5.04% of credit is overdue
In August 5.04% of the financial system's credit was more than 90 days overdue, the highest level in our series, which starts in 2015. In December it was 4.20%.
The Briefing · Written Oct 4, 2026 · Numbers and charts update with each release
Defaults: households and companies
% of credit more than 90 days overdue, last three years
Source: Central Bank of Brazil (SGS)
The rise comes from both ends. Household defaults went from 5.12% in December to 6.03% in August, also a series record. Company defaults went from 2.70% to 3.35%.
The volume of credit relative to the size of the economy was stable, at 55.44% of GDP. The banking spread, the gap between what banks charge and what they pay to raise funds, eased from 12.57 points in April to 11.73 in August.
What the number means for you
Of every R$100 lent, R$5 is overdue
That is total system default as measured by the central bank. It has risen since December, when it was 4.20%.
Among households the delay is higher
Individuals include credit cards, overdrafts and loans. The rate rose 0.91 points since December.
Among companies it is lower, but also rising
In December it was 2.70%. The 0.65-point increase is smaller than for households.
The next test: what would change the answer
What we do not know yet: whether the rise is temporary or the start of a cycle. A falling Selic should ease payments, but so far loan rates have fallen little.
Total default above 5.04% in September. It would be a third rise in a row.
Total default below 4.88%, the July level. It would signal a turn.
The banking spread moving back above 12.09% (July). It would show borrowing costs rising again.
Questions readers ask
What is default?
Late payment of a debt. The central bank measures the share of the credit portfolio overdue by more than 90 days.
Why are household defaults higher than company defaults?
From the data on this page we can only say households are at 6.03% and companies at 3.35%. The cause is not identified here.
What is the banking spread?
The gap between the rate banks charge customers and the cost of the money they raise.
What does credit at 55.44% of GDP mean?
The balance of all financial-system loans divided by the value of what the country produces in a year.