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Digital banks have changed how many people in Latin America deal with their money, and Nubank is the best-known example. Founded in São Paulo in 2013, it now has customers in Brazil, Mexico and Colombia.
With its purple card and its promise of simpler banking, the company has attracted a very large customer base, but no bank is the right choice for everyone. In this article, we look at how the account, card and app work and what to check before signing up. Its services are not yet offered in the United States.
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The Foundation of Nubank: Fewer Fees
One of the first things that draws people to Nubank is its pricing. In Brazil, the digital account has no monthly maintenance fee, and the standard purple credit card has no annual fee. For many people with lower incomes or who are new to the financial system, those fees had been a real barrier to having a bank account or a card.
The company’s growth also pushed other banks to review their own offers. Today, several Brazilian banks have free digital accounts, so it is worth comparing them before you choose. And free does not mean that every service costs nothing, a point we return to later in this article.
The Nubank Account
The account, once called NuConta, pays a return on the balance under conditions that change over time. It can be a convenient place for everyday money, with daily access to the funds. Before treating it as an investment, compare the current return with other low-risk options and check the protection that applies to the product you are using, including Brazil’s deposit guarantee fund, known as FGC.
Daily tasks are done in the app. Customers can pay bills and make instant transfers through Pix, the payment system run by Brazil’s central bank. If you need to split a bill with friends, for example, you can send your share in a few seconds. The app also shows a history of what came in and went out, which helps you keep track of your spending.
The Purple Card
The Nubank credit card became an icon, not only because of its color but also because of how it is managed. The app sends a notification for each purchase, shows the current bill and lets you block the card if it is lost or stolen. You can also request a review of your credit limit and create a virtual card for online shopping, all without going to a branch.
The bank also has an optional, paid rewards program, Nubank Rewards. Points are earned on purchases and can be used to erase items from the bill or redeemed in other ways. Since the program has a cost, it only pays off if the points you would earn are worth more than the fee. There is also a premium line, Ultravioleta, with its own requirements and benefits.
Customer Service
Nubank built a reputation for friendly service through the app and by phone, and it presents this as one of its main differences from traditional banks. Many customers praise it, but experiences vary, as they do at any large company. If this matters to you, look at recent complaint data from Brazil’s central bank and at consumer websites such as Reclame Aqui, rather than relying on advertising or on a single review.
Security
A bank without branches depends on the security of its app and of the phone it runs on. Nubank uses encryption and features such as biometric login, card lock and virtual cards, which make some types of fraud harder. They do not stop scams that target the customer directly, such as fake calls from the supposed security team. These scams are common in Brazil, so stay alert to them.
Other Services
Over the years, the company has added services beyond the account and the card, including personal loans, insurance, an investment platform and an account for small businesses. Having everything in one app is practical, but each product has its own costs and risks. A personal loan, for example, can be expensive, and investments can lose value, so read the conditions of each service and compare them with the alternatives.
Is Nubank Right for You?
Nubank tends to suit people who live in one of the countries where it operates, handle most of their finances by phone and want low fees for everyday services. It may not be the best choice for those who often need to deposit cash, want in-person service or use specific business features.
The company went public on the New York Stock Exchange in 2021, and in January 2026 it received conditional approval from a U.S. regulator to create a national bank. That approval does not mean its products are available in the United States, and any launch still depends on further steps. Readers there should confirm the current situation on the official website and be wary of anyone offering a Nubank account or card today.
OFFICIAL NUBANK WEBSITEWhat to Check Before Signing Up
Marketing around digital banks often focuses on the simplicity of the app, but a sensible decision also depends on the fine print. A free account does not mean that every service is free. Late credit card payments, installment plans, personal loans and some optional products can carry significant costs. Your credit limit depends on the bank's analysis and may be low at first, and approval is not automatic. Before applying, review the latest fee table, interest rates and terms on the official Nubank website, since these can change over time and vary by country.
Comparing Nubank With Other Options
A digital account can suit people who handle most of their finances through a phone. However, someone who regularly deposits cash, needs in-person service or relies on specific business features may prefer a bank with physical branches. A good approach is to list what you use most often in a typical month, such as Pix transfers, bill payments, cash withdrawals or credit card installments. Then compare the cost and convenience of each provider for those exact tasks. If you already hold an account elsewhere, you can test a new one with a small amount before moving your salary or main savings.
Understanding Returns on Your Balance
When an account pays a return on deposits, the rate can change, and it may depend on the balance, the period or the type of product. Check how the yield is calculated, whether taxes apply and what protection covers your money. Compare it with other low-risk alternatives before assuming it is the right place for an emergency fund.
Protecting Your Digital Account
Because the phone is the branch, its security becomes your responsibility as well. Use a strong screen lock and a separate password for the app, and do not install software from unknown sources. Be careful with callers claiming to be from the bank's security team, especially if they ask you to make a transfer to "protect" your money. If your phone is lost or stolen, contact the bank immediately through official channels and block access.
123 News is not affiliated with Nubank. This article is for informational purposes only and is not financial advice. Check the official website for current terms and rates.