3.2 Million Checks Bounce in One Month in Brazil: 2% of All Checks Written

For every one thousand checks processed in Brazil in November of this year, 20.6 were returned for lack of sufficient funds in the accounts on which the checks were written.

This was the second highest rate registered by the Serasa, a Brazilian private financial data analysis firm, in the past 15 years. The record was set in March, 1991, when rubber checks amounted to 20.8 for every one thousand that were processed.

In the month-to-month comparison between November and October, returned checks were up 4.6%, from 19.7 bounced checks for every one thousand processed.

The total of processed checks in November in Brazil was 157.4 million, 3.2 million of which were returned for lack of sufficient funds. The figures for October were 157.8 million checks processed and 3.1 million returned.

According to Serasa’s analysis, the increase in bounced checks is attributable to the expansion of credit and the high interest rates charged by the market. Another factor identified as responsible is the acceptance of postdated checks by stores.

ABr

Tags:

You May Also Like

Brazil Hoping a Brazilian Will Be Next WTO’s Chief

The Brazilian candidate for the post of director-general of the World Trade Organization (WTO) ...

Brazilian Judges Accused of Promoting Violence and Impunity

The Brazilian Farm Worker Union (Contag) and an international union (Uita) are launching a ...

Brazil Scolds Foreign Trademarks of Amazon Products

The Amazon Cooperation Treaty Organization (Organização do Tratado de Cooperação Amazônica) (OTCA), which met ...

Brazil’s Finance Minister Promises Long Cycle of Growth

In testimony before the Brazilian Senate Economic Affairs Commission (CAE), Brazil’s Minister of Finance, ...

Brazil Lula’s Family Voucher Is No Charity and Makes Economic Sense

In the results of Brazil’s National Survey of Sample Households (PNAD) there is an ...

Brazil and Neighbors Have Found They Don’t Need Uncle Sam’s Consent

Over the past few years we have faced two major challenges in conceiving of ...

In Brazil While Foreign Investment Goes Down Dollar and Deficit Are Up

Foreign direct investment (FDI) in Brazil was $25.949 billion in 2009, down 42.41%, compared ...

Indian Leader Attacked by Gunmen in Brazil

Former indigenous chief Gerson de Souza Melo, of Brazil’s Pataxó Hã-Hã-Hãe people, and current councilor ...

Maurício, our Disney

If you haven’t heard about Mônica, Cascăo, Cebolinha & Co. yet you haven’t been ...

Brazil Opposition Accuses Lula of Buying Votes and Calls for Foreign Observers

Brazilian President’s statement during a political rally that "democracy is not only clean stuff" ...