How to Acquire Dollars in Brazil: Complete Guide on Fees and Strategies

Many Brazilians face doubts when it comes to how to buy dollars, whether for travel or investment diversification. The market offers several alternatives, but each has its particularities regarding costs and taxability.

Costs Involved in Buying Foreign Currency

When performing a dollar purchase operation, the investor encounters a series of charges that need to be well understood. The spread charged by financial institutions ranges from 4% to 7%, depending on the currency exchange office or bank chosen. Additionally, the Financial Operations Tax (IOF) applies, which can vary depending on the type of transaction.

When you buy cash dollars, the IOF represents 1.1% of the amount. For purchases via credit or prepaid card, this rate increases to 4.38%, making the operation significantly more expensive. Therefore, understanding these details is essential to avoid wasting resources.

Traditional Financial Institutions

Major Brazilian banks have been offering currency exchange services for decades. Banco Itaú, as the largest private institution in the country, provides recognized facilities for foreign currency transactions. Its structure allows purchases both in person and digitally.

Banco Bradesco also stands out as a popular option, allowing clients to check the exchange rate and applicable fees at the time of the transaction through digital platforms or physical branches.

For those seeking lower costs, Banco Nomad (digital institution) presents a differentiated proposal, charging approximately 2% exchange rate fee, plus IOF. The platform offers an intuitive app and the possibility of obtaining an international debit card at no additional cost.

Specialized Exchange Platforms

There are also companies focused specifically on currency operations that operate exclusively online, offering competitive rates and simplified account opening processes.

Some of these platforms allow real-time conversion between Real and dollar, with full transparency about the applied fees. Many also provide free international debit cards, facilitating the use of foreign currency in international purchases.

Quote aggregators can also assist by comparing offers from different exchange houses in the region of the client and presenting real-time rates, enabling the person to choose the best option without intermediaries.

Strategies to Reduce Costs

Plan your operations in advance. Leaving the purchase for the last minute can result in unfavorable rates and harmful exchange rate volatility. Setting clear objectives—whether for an international trip or asset investment—allows you to structure an appropriate approach for each scenario.

Divide your acquisitions into small installments over time instead of buying large amounts at once. This dollar cost averaging strategy reduces the impact of adverse exchange rate spikes.

Monitor fluctuations in the rate daily. Factors such as international monetary policy decisions, elections, political instability, and economic indicators directly affect the value of the US dollar relative to the Real.

Carefully compare rates between different institutions. Some banks charge less than traditional exchange houses, while digital platforms often have tighter spreads. This research can save hundreds of reais in a medium-sized operation.

Always prefer regulated institutions with a proven track record. Avoid informal offers or individuals, as they expose you to risks of fraud or irregularities in operations.

Differences: One-Time Purchase versus Investment

When the goal is an international trip, the purchase is usually made at a specific moment, requiring prior planning to avoid surprises with high exchange rates.

On the other hand, dollar investment allows greater temporal flexibility. The investor can acquire gradually, monitoring international market trends and the performance of the US currency. This approach creates opportunities to obtain better prices and enhance returns.

There is also the possibility of investing in dollar-backed digital assets (stablecoins), which maintain a 1:1 parity with the US dollar. Alternatively, investments in American company stocks or dollarized funds offer currency exposure with the potential for additional gains beyond currency appreciation.

Final Recommendations

Knowing your investor profile is essential before committing resources to currency operations. Each person has a different risk tolerance and financial objectives.

Stay informed about economic news and international monetary policy. This information guides decisions on the best timing to operate.

Choose the institution that best aligns with your final goals. If it’s just for travel, prioritize convenience and lower costs. If it’s for investment, also consider additional resources such as technical analysis, financial education, and customer support offered by the platform.

Diversify your currency operations across different institutions if operating with large amounts, thereby reducing risks associated with concentration in a single counterparty.