São Paulo, July 15, 2026, 07:02 BRT
- Mexico made up about 14% of Nu’s deposits at March-end, while only around 11% of its customers were there, company disclosures show.
- Nu finished Tuesday at $13.99, rising 2.34%, with 152.7 million shares traded. NYSE regular trading was still closed at the dateline.
Nu Holdings Ltd. NYSE:NU is close to wrapping up its conversion to a Mexican bank, with a funding base that goes deeper than customer numbers suggest. Mexico had more than $5.9 billion in deposits as of the end of March, making up about 14% of the group’s deposits, while its 15 million-plus customers were about 11% of Nu’s global total. The main question now is whether these deposit levels can help the new banking license generate more profit.
Mexico’s banking regulator cleared Nu to start banking operations on July 10, setting a 30-day deadline for Nu to finish moving over from a SOFIPO. The sign-off gives a short-term milestone for investors, with shares bouncing off the June low. Trading volume on Tuesday was more than double the recent daily average, but that can’t be linked directly to the license.
Bank status is key for Nu as it plans to offer payroll accounts, raise deposit caps and boost deposit-insurance coverage to 16 times what it had before. Just 36% of Mexican adults had a payroll account in the 2024 financial-inclusion survey, and nearly 90% of those were held at five banks, Nu said when its license was approved. Nu sees payroll as a way to become a main bank for customers instead of just another savings app.
| Mexico funding feature | SOFIPO stage | Bank stage |
|---|---|---|
| Payroll account | Not available | In pipeline |
| Deposit limits | SOFIPO caps | Raised limits |
| Deposit insurance | Old coverage | Up to 16x increase |
Nu’s deposit math leaves it with options. In Q1, Mexico averaged about $393 in deposits per registered customer. That’s higher than Nu’s roughly $304 per customer in other regions. The numbers are only estimates since Nu rounds customer counts and not all registered users hold deposits.
| Metric | Mexico, Q4 2024 | Mexico, Q1 2026 | Rest of Nu, Q1 2026 |
|---|---|---|---|
| Registered customers | Roughly 10 million | Over 15 million | Near 120 million |
| Deposits | $4.5 billion | Above $5.9 billion | Roughly $36.5 billion |
| Deposits per customer | About $450 | Near $393 | About $304 |
Based on group totals and rounded figures from company filings.
Mexico’s customer numbers grew by about 50% from late 2024 to March 2026, but deposits only increased around a third in that period. So, deposits per customer dropped about 13%, though they’re still nearly 30% higher than the wider group. Quick signups are part of why the number fell. Now, the bank has to prove new users stick around with bigger balances. That’s the metric investors care about.
Nu’s management said the Mexican business hit break-even in Q1, with its efficiency ratio improving by 78 percentage points. The company is signing up around 12,000 new customers every day in Mexico and now covers 98% of the country’s municipalities. “Mexico is a key market for Nubank, and this is a decisive step in our long-term commitment to the country,” CEO David Vélez said. Nu expects to invest a total of $4.2 billion in Mexico by 2030. Nu International
Deposits were $42.4 billion and loans $37.2 billion in March across the group. Nu’s loan-to-deposit ratio climbed to 58.3% from 49.1% three months ago. The risk-adjusted interest margin dropped one point to 9.5% after Nu put aside more for credit losses. More deposits in Mexico could help lending grow without bringing in outside funds at the same rate. The balance sheet is getting pushed harder.
The license hasn’t given Nu a free pass. Early-stage delinquencies jumped 89 bps to 5.0% for the quarter, while loans over 90 days late slipped to 6.5%. Mexico’s policy rate is stuck at 6.5%, so Nu may have to keep savings rates up even as it tries to push lending margins higher. Capital Economics’ Kimberley Sperrfechter said recent inflation data suggest “interest rates will remain on hold in the near term.” If payroll accounts don’t bring in bigger balances, Nu risks bank-type costs before it sees the revenue it wants. Nu International
Nu finished Tuesday 26% under its 52-week high, 25% above its low, and is trading at about 21.6 times earnings. The $1 billion buyback authorization is around 1.5% of its market value, but Nu isn’t locked into buying any specific amount. The current valuation shows mixed sentiment—investors see potential in Mexico for funding and cross-selling, but they still want proof the license helps customer economics, not just adds more customers.
Nu’s upcoming quarterly release puts the focus less on milestone membership counts and more on deposit growth in Mexico, cost of funds, and whether payroll has started to gain traction. The new license lets Nu offer more, but the challenge now is to lift returns.
Related articles: NYSE:NU
