Brazil vehicle-collateral credit surges 17.8% as households deleverage

Brazilian credit operations backed by vehicle collateral rose 17.83% in H1 2026 versus H1 2025, led by Centro-Oeste (+32.12%) and Sul (+24.17%), while Norte contracted 2.71%. Household indebtedness fell to 82% of families, per CNC's PEIC, indicating a shift toward secured borrowing to reduce debt. The trend suggests improving credit quality and consumer deleveraging, though regional divergence points to uneven economic recovery.