In May 2026, "zero IOF" marketing exploded in Brazil. The real math, using effective rate per USD 100, shows that in most cases no-IOF cards lose to Wise or Nomad even with the 3.5% IOF tax.
In May 2026, "zero IOF" marketing exploded in Brazil. The real math, using effective rate per USD 100, shows that in most cases no-IOF cards lose to Wise or Nomad even with the 3.5% IOF tax.
IOF (a Brazilian tax on international purchases) is **3.5% as of May 2026**, not 6.38%.
A "no-IOF card" only wins when its **FX spread** is also low. A 5% spread with zero IOF is worse than a 1% spread with 3.5% IOF.
**Nubank Ultravioleta** offers 1% cashback that offsets part of the IOF, but Nubank's spread sits between 1.5% and 2.5%, depending on the BIN.
**BTG Cashback IOF Zero** is mathematically the most interesting product — for existing Single-tier clients or above with high monthly volume.
**Sicredi's promotional zero-IOF** is worth it for co-op members with recurring USD/EUR spending.
In May 2026, "zero IOF" marketing exploded in Brazil. The real math, using effective rate per USD 100, shows that in most cases no-IOF cards lose to Wise or Nomad even with the 3.5% IOF tax.
