Zetta criticizes Febraban again in a social media outcry

Zetta again criticizes Febraban in a clash through social media. Photo: Suju-foto, Pixabay.

The “war of truths” between Febraban (Brazilian Federation of Banks) and Zetta, an association of fintechs, had another chapter this Tuesday. After the federation’s backlash last weekend to a criticism from newcomers, the Zetta he said today “that he regrets that Febraban avoids the discussion about raising bank fees above inflation”.

The dispute between the two sides revolves around regulation, which is asymmetric. But both say they are harmed by this situation. The discussion is taking place through social networks, in a “scream” of accusations. The Central Bank, to whom the criticisms are actually addressed, is studying changes in regulation.

The association of digital banks began with Nubank, Mercado Pago and Google (the latter is no longer a member) and has 14 members. According to your post today, stated that “regulatory asymmetry favors traditional banks with competitive and economic advantages“. Therefore, he says that fintechs have greater financial requirements and more legal requirements.

It all started last week when Zetta criticized Febraban for bank fees. The federation defended itself on Sunday (19). At the time, he said that Nubank’s interest on revolving credit cards and payroll loans at the end of August surpassed those of the five largest banks.

Zetta says bank interest rates on the card are higher

However, in its response today (21), Zetta stated that the association members’ average revolving card interest rates are 10.66% per month. While it is 12.86% of the five largest banks. And that fintechs have lower fee income.

To Febraban’s statement that they pay more taxes than fintechs, Zetta also made a counterpoint. He stated that when analyzing the balance sheets of these banks, “it can be seen that the nominal rate is subject to a series of deductions that greatly reduce the effective tax”. While “fintechs pay all taxes with much less deductions”.

“Only banks can receive demand deposits. In this way, they do not remunerate their clients and can still use their money to make loans. Fintechs do not have this permission. In deposits with payment institutions, 100% of the resources are locked in government bonds”, completed the association of digital banks.

Zetta also mentions in its statement that there are favors to banks in relation to the Credit Guarantee Fund (FGC) and liquidity in transfers. As well as in the minimum capital for the operating license as a financial institution.

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