The success story of fintechs in Latin America is entering a new phase. After five years of explosive growth, the ecosystem has expanded by more than 340% in the last six years, according to the Inter-American Development Bank — a new factor may now level the playing field and drive not only more growth but also more opportunities for startups. AI agents are transforming how financial services startups connect with customers, expand inclusion, and reduce costs. These agents give startups the chance to scale faster and smarter than their predecessors. Here’s how they are redesigning the future of the fintech sector in Latin America.
Boosting customer engagement through AI agents
AI agents are revolutionizing customer interactions in financial startups by taking the front line of 24/7 service, as well as handling more complex tasks like financial advice. According to Finextra, financial institutions using customized agents saw a 30% improvement in customer satisfaction and a 20% increase in conversion rates.
Some of the region’s biggest players are already reaping the benefits. MercadoLibre, for example, integrated AI and machine learning to offer personalized financial services — a move that helped boost its market value to over $100 billion, according to Reuters.
Now, with the rise of cloud computing in Latin America (growing at a compound annual rate of 15%) and the drop in processing costs, what was once the privilege of tech giants is becoming accessible to a new generation of startups. This shift in supply is enabling growing companies to build AI solutions in-house or adopt the AI-as-a-Service (AIaaS) model to optimize their operations. Recently, a major Mexican retailer used AIaaS to digitize its consumer credit approval process — reducing wait times from one week to just 15 to 20 minutes, significantly improving the customer experience.
Advancing financial inclusion
With the growth of the fintech ecosystem in Latin America, financial inclusion has also advanced — albeit unevenly and limitedly. According to a 2023 Mastercard study, 21% of Latin Americans remain outside the formal financial system. And while 79% have a debit card and/or bank account, only three in ten have access to more advanced services like credit, loans, and insurance.
AI agents are becoming a key tool to accelerate progress in financial inclusion, enabling financial services startups to take a central role in this expansion. The World Economic Forum states that the use of AI agents can trigger an “AI-powered technological leap” effect in developing economies like Latin America, allowing financial services to reach underserved populations directly, without relying on traditional infrastructure.
CGAP reports that AI agents contribute to inclusion by processing complex transactions and operations while keeping customer interactions simple. For example, while an AI agent can analyze diverse datasets to create personalized financial products, it can communicate all transaction steps via WhatsApp, understand customer voice commands, or offer simplified decision flows — facilitating inclusion even in rural areas with low education levels.
Moreover, by intelligently processing more varied datasets, AI agents can also calculate fairer loan costs and increase approval rates for people with little or no financial history. A Brazilian financial services company that used AI to analyze alternative credit data for underbanked customers saw a 25% increase in credit approvals while maintaining low default rates.
Optimizing operations and reducing costs
The benefits of AI agents are not limited to customer experience and financial inclusion — startups looking to keep their operational costs low are also finding efficiency. Fintech Galileo reported that its AI agent reduced back-office calls by 70%.
At Gupshup, it was observed that financial institutions that implemented AI agents experienced a 40% to 50% reduction in operational costs related to customer service and loan processing. These efficiency gains come from automating document handling, reducing manual intervention in routine tasks, and optimizing workflow management.
Faced with these three factors — enhanced customer engagement, expanded inclusion, and cost reduction — AI agents are becoming an essential tool for the next generation of financial services startups. More than that: several venture capital funds in Latin America are already preparing to increase investments in startups offering credit and AI products. This means fintechs that adopt AI agents will become even more attractive investment options.
In summary, AI agents are not just the future of financial services in Latin America — they are already the smartest bet of the present.
