Payment Gateways in LATAM 2026: The Guide You Need Before Collecting Your First Dollar

Payment Gateways in LATAM 2026: The Guide You Need Before Collecting Your First Dollar

The question I get most since selling Pago Fácil isn't about fundraising or scaling. It's much more basic: "How do I collect payments online in Latin America without going crazy?"

It's a good question. And the answer is more complicated than it seems.

I founded Pago Fácil, a Chilean payment gateway that operated locally in Chile. We sold it to BCI + Evo Payments. But when I launched my current projects—Ecosistema Startup, my Skool community, digital products—I opened a C Corporation in the US and use Stripe from there. Ironically, it's simpler for me to collect in dollars from all of LATAM through a US company than to deal with multiple currencies and local regulations. And I'm not the only Latin American founder doing exactly that.

This guide is what I wish I'd read before making those decisions.

The Real Problem: 20 Currencies, 20 Regulations

Latin America has at least 20 different currencies in circulation. Seven countries use some variant of "peso," but each one is different in value, regulation, and exchange rate.

If you want to sell a digital product in Mexico, Chile, Colombia, Argentina, Brazil, and Peru simultaneously, you're dealing with six different currencies, six tax regulations, six exchange rates that fluctuate daily, and six different sets of payment methods.

Mexico pays with OXXO. Colombia with PSE. Brazil with PIX and boleto. Chile with Webpay. Argentina with bank transfer because international cards are restricted.

That fragmentation is the central problem with collecting in LATAM. It's exactly what payment gateways try to solve, each in their own way.

The Big Question: Gringo Company or Local Company?

Before choosing a gateway, there's a more important decision nobody explains well: from what type of entity will you collect?

Two paths:

Path 1: Local company (SpA in Chile, SAS in Colombia, SA de CV in Mexico). You use local gateways, collect in local currency, manage local regulations. Works well if you sell in one country.

Path 2: US company (LLC or C Corp in Delaware). You use Stripe US, collect in dollars, one currency, one process. Better if you sell in multiple countries simultaneously.

Which is better? It depends.

Collecting in dollars from a US company is simpler—not necessarily better. If your product is SaaS, B2B, or international, a US company with Stripe drastically simplifies everything: one currency, one billing process, one tax regulation, access to Stripe's full suite (billing, subscriptions, invoicing, tax).

But if you sell B2C to consumers in one country, collecting in dollars kills your conversion. The customer wants to pay in their currency, with their preferred method. And the acceptance rate for local cards collecting in USD from a US Stripe account drops to approximately 60% for subscriptions. That's four out of ten failed payments.

The smart path: first validate your idea with a cheap, fast local gateway. Once you confirm there's market in multiple countries, that's when you build the US company and move to Stripe. Not the other way around.

The Gateways: Who's Who in 2026

Stripe

The global standard. Best documentation, cleanest API, most complete suite. If you can use it, you probably should.

The problem is that to use Stripe you need a legal entity with a tax ID and physical address in a supported country. In LATAM, Stripe operates directly in Brazil and Mexico. Chile is in preview. Colombia isn't official yet.

The solution many LATAM founders use: open an LLC or C Corp in Delaware through Stripe Atlas for $500. They incorporate the company, open a bank account, and activate Stripe. Within a week you're collecting.

Fees: 2.9% + $0.30 per transaction (from US account). The real cost is maintaining the US company: annual maintenance, registered agent, tax filing.

Best for: SaaS, digital products, subscriptions, B2B international.

Mercado Pago

The regional giant. Largest user base in LATAM. All local payment methods included. If you sell B2C in a specific country, Mercado Pago is probably your safest bet.

The problem: you need an account in each country you operate, which means local entity or at least presence. Fees are high—around 3.79% + fixed in Mexico, similar in other countries.

Coverage: Argentina, Brazil, Chile, Colombia, Mexico, Uruguay, Peru.

Best for: E-commerce B2C, marketplaces, any business where the end customer needs to pay with local method.

dLocal / dLocal Go

dLocal's promise is powerful: collect in 15+ LATAM countries from a single account, without opening local companies in each country. For businesses wanting to sell cross-border without the complexity of entities everywhere, it's attractive.

dLocal Go is their self-service version for smaller companies.

Real user reports: support can be slow, chargebacks are painful, and payouts have delays. Fees aren't public—negotiated case by case.

Coverage: 15+ LATAM countries.

Best for: Medium to large companies selling cross-border in multiple LATAM countries without wanting local entities.

EBANX

Similar to dLocal conceptually: facilitates cross-border payments for global companies selling in LATAM. Originally strong in Brazil, particularly dominant there.

Fees: 3.29% to 3.99%. No need for local entity in each country.

Coverage: Brazil, Mexico, Colombia, Chile, Argentina, Peru, Ecuador, and more.

Best for: Global companies or startups with HQ outside LATAM wanting to penetrate the region.

Flow (Chile)

If you sell exclusively in Chile, Flow is probably your best option. Well integrated with local ecosystem, good reputation, reasonable fees (~2.5% + VAT).

Requires Chilean RUT. Only operates in Chile.

Best for: Any business selling in Chile and only Chile.

Payku (Chile)

Alternative to Flow for the Chilean market. Similar functionality and requirements (Chilean RUT). Good option if Flow doesn't work or you need a second gateway.

Best for: Same profile as Flow—local Chilean business.

Conekta (Mexico)

The Mexican equivalent of Flow. Requires Mexican RFC. Good integration with Mexican local ecosystem, including OXXO for cash payments.

Fees: ~2.9% + $2.50 MXN.

Best for: Businesses operating in Mexico, especially if you need to accept cash payments via OXXO.

PayU

Strong presence in Colombia where it's practically the standard. Also operates in Mexico, Argentina, Brazil, Chile, Peru, and Panama. Requires local entity per country.

Fees: 1.99% to 2.99% + VAT. Among the most competitive in the region.

Best for: Businesses in Colombia especially, or companies with local entities in multiple LATAM countries.

Kushki

Founded in Ecuador, positioning as the "Stripe of LATAM." Omnichannel, growing presence. The downside: fees aren't public—you negotiate directly.

Coverage: Ecuador, Colombia, Mexico, Chile, Peru.

Best for: Companies seeking a LATAM-native solution with regional support.

Rebill

Specifically focused on subscriptions and recurring payments for SaaS, EdTech, and HealthTech. Report 35% higher conversion rates than average.

Coverage: 10+ LATAM countries.

Best for: SaaS and subscription businesses selling in LATAM.

When to Use Which: The Decision Tree

The decision depends on three variables: where you sell, who you sell to, and what you sell.

Selling in ONE country:
→ Use the dominant local gateway. Flow in Chile, Conekta in Mexico, PayU in Colombia. Lower fees, better acceptance rates, zero unnecessary complexity.

Selling in multiple LATAM countries, B2C:
→ Mercado Pago (if you can manage one account per country) or dLocal Go (if you don't want local entities). You need local payment methods.

Selling SaaS/digital internationally:
→ Stripe with US company. One currency, one process. No US company yet? Stripe Atlas solves incorporation for $500.

Selling B2B in LATAM:
→ Stripe US. Your B2B customers are used to paying in USD. You don't need OXXO or PSE.

Validating an idea (pre-product-market fit):
→ The simplest local gateway in your country. Don't build a US company yet. Validate first, scale later.

Common Mistakes

Setting up US company before validating. I've seen founders spend $2,000 incorporating an LLC, paying a registered agent, opening a bank account before they have a single customer. US company makes sense post-validation, not before.

Using only Stripe US for LATAM B2C customers. Acceptance rate drops to ~60%. Four out of ten payments fail. If your customer is an end consumer in Colombia paying with a local card, you need a local gateway.

Ignoring local payment methods. OXXO moves millions in Mexico. PIX changed Brazil. PSE is dominant in Colombia. If you don't accept what your customer uses, you lose the sale.

Choosing gateway only by fees. A 1.99% fee is worthless if your acceptance rate is 50%. The metric that matters is net revenue, not the lowest commission.

Not planning for scale. If you start with Flow in Chile and later want to sell in Mexico, you have to integrate a new gateway from scratch. If you know from the start you'll be multi-country, pick a solution that scales with you.

The Recommended Path

If I were starting from zero today with a digital product for LATAM, I'd do this:

Phase 1—Validation (months 1-3). Local gateway from my country. Flow if in Chile, Conekta if in Mexico. Zero complexity. I just need to know if people pay.

Phase 2—First multi-country customers (months 3-6). If I see traction from other countries, I evaluate dLocal Go or Mercado Pago to cover local methods without opening entities.

Phase 3—Scale (month 6+). If the product is SaaS and I have customers in 3+ countries, I set up a Delaware LLC or C Corp via Stripe Atlas. Collect in USD. One currency, one process, full Stripe suite available.

Not the other way around. Never the other way around.

The most expensive mistake in payments isn't the commission. It's premature complexity.

The 2026 Landscape

The payments market in LATAM is maturing fast. Stripe expands local presence, dLocal and EBANX compete for cross-border, and local gateways remain strongest in their markets.

The clear trend: it gets easier to collect in LATAM. But currency fragmentation, payment method variety, and regulatory differences remain the core challenge. No single gateway solves everything. The right solution is almost always a combination.

And the most important decision remains the same: local or US company? The answer depends on your stage, your market, and your business model. Not on what the founder next to you does.

I founded a payment gateway and it still took time to understand these decisions. Don't feel bad about not having them clear. The ecosystem is complex. But your options today are better than ever.

Choose what fits your moment. And don't marry any of them.

Quick Comparison Table

For those who prefer seeing everything at a glance:

Gateway	Entity Required	LATAM Coverage	Fee	Best For
Stripe (US)	LLC/C Corp US	Global (collect USD)	2.9% + $0.30	SaaS, B2B, international
Stripe (local)	Local entity	Brazil, Mexico, Chile (preview)	Varies	Local business in supported country
Mercado Pago	Account per country	AR, BR, CL, CO, MX, UY, PE	~3.79% + fixed	B2C, e-commerce, marketplace
dLocal Go	Your company (any country)	15+ countries	Negotiable	Cross-border without local entities
EBANX	Company	BR, MX, CO, CL, AR, PE, EC+	3.29-3.99%	Global companies → LATAM
Flow	Chilean RUT	Only Chile	~2.5% + VAT	Local business in Chile
Conekta	Mexican RFC	Only Mexico	~2.9% + $2.50 MXN	Local business in Mexico
PayU	Local entity per country	CO, MX, AR, BR, CL, PE, PA	1.99-2.99% + VAT	Colombia especially
Kushki	Company (negotiation)	EC, CO, MX, CL, PE	Not public	LATAM-native, omnichannel
Rebill	Company	10+ countries	Negotiable	SaaS subscriptions
Payku	Chilean RUT	Only Chile	Similar to Flow	Alternative to Flow

Local Payment Methods: What You Can't Ignore

Each country has dominant payment methods, and if you don't accept them, you lose sales. Simple as that.

Mexico: OXXO (cash payments at convenience stores) is huge. Millions of Mexicans without credit cards pay this way. SPEI for bank transfers.

Brazil: PIX revolutionized payments in 2020. Instant, free, already the most used method in the country. Boleto still relevant for cash payments.

Colombia: PSE (Pagos Seguros en Línea) dominates bank transfers. Efecty and Baloto for cash. Nequi and Daviplata as digital wallets.

Argentina: Bank transfer CBU/CVU is standard. Currency restrictions make international payments complicated. Mercado Pago rules.

Chile: Webpay (Transbank) still dominates cards. Direct bank transfer. Khipu for transfer payments.

Peru: Yape and Plin as digital wallets. PagoEfectivo for cash. Inter-bank transfer.

If your gateway doesn't support these methods in your country, you're leaving money on the table. This is especially relevant for B2C—B2B customers usually pay card or transfer without issue.

About Stripe Atlas: What Nobody Tells You

Stripe Atlas is powerful, but there's fine print the marketing glosses over.

The good: for $500 they incorporate an LLC or C Corp in Delaware, open a bank account at Mercury or Silicon Valley Bank, and activate Stripe. Within a week you're operating.

What they don't mention: maintaining a US company has recurring costs. Registered agent ($100-300/year), Delaware franchise tax ($400/year for LLC, $400+ for C Corp), tax filing ($500-2,000/year if you use a CPA), and potentially federal taxes depending on your structure and income source.

The LLC vs. C Corp choice also matters. LLC has pass-through taxation—income passes straight to you as an individual, no double taxation. C Corp has double taxation (the company pays taxes and you do again when you take distributions), but it's the structure VCs prefer if you plan to raise capital.

If you're a solopreneur or small company without VC plans, LLC is almost always better. If you plan to raise rounds, C Corp is standard.

The tax part: if you live in Chile but your company is US-based, you still pay taxes in Chile on worldwide income. A US company doesn't exempt you from local tax obligations. Consult a CPA who understands both jurisdictions before deciding.

Conclusion

Collecting in LATAM will never be as simple as collecting in the US or Europe. Currency fragmentation, regulations, and payment method variety is structural, not temporary.

But the available tools in 2026 are the best they've ever been. Stripe advances regionally, dLocal and EBANX simplify cross-border, and local gateways are more robust than ever.

The key is not overcomplicating. Validate locally, scale with the right tool, and don't build a US company until the numbers justify it.

And if someone tells you there's ONE gateway that solves everything in LATAM, don't believe them. The answer is almost always a combination. And that's fine.

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📝 Originally published in Spanish at cristiantala.com