Name
Global FinTech Guide
Country _ Name
Colombia
SectionTitle
Payment services
Body
FinTechs belonging to this category offer alternative payment services which are supposed to provide a faster and cheaper way for national, European, and international payments for private and business customers by using new technologies.

For example, payment service providers hereby offer solutions to easily integrate several payment services in online shops.

Some FinTechs furthermore provide real cash register systems and online-reservation solutions for restaurants and shops providing their own payment services or making use of the payment services of FinTechs described above.

Introduction

Attitude of the country towards modern payment services

As of 2024, approximately 40% of FinTech companies in Colombia belong to the digital payment services segment, confirming the dominant position of this vertical within the country’s FinTech ecosystem .This reflects the growing importance of digital payment methods in Colombia. According to recent estimates, around 76% of Colombians actively use digital wallets to carry out daily transactions and payments, a figure that shows sustained growth compared to previous years and positions Colombia as one of the regional leaders in the adoption of digital payment solutions.

Colombia maintains a proactive and positive stance towards modern payment services and the broader Fintech ecosystem. According to the latest industry report, there are currently 394 local Fintech companies, with an annual growth of approximately 6% and an ecosystem that positions Colombia as the third largest Fintech hub in Latin America, after Brazil and Mexico. Including foreign players, the total number of Fintechs operating in the country exceeds 560. The Fintech industry in Colombia is not only a source of job creation but also stands out for its high profitability and efficiency. While its total assets remain smaller than those of traditional sectors, its operating margin reaches 58%, far exceeding that of Services (19.7%) and Manufacturing (5.5%). For every peso spent, Fintech

  • Finnovista, Fintech Radar Colombia (First Quarter 2024). June 2024.
  • Kushki, Tendencias de pagos digitales en Latinoamerica 2023. February 2023.
companies generate COP 2.38 in revenue, twice the efficiency of the manufacturing sector and significantly higher than the commerce sector (COP 0.56).

In addition, the importance of modern payment services in Colombia is further demonstrated by the inclusion of a special section on e-commerce in the Colombian Consumer Statute. Yet, electronic payment services have created a challenge for lawmakers and regulators in Colombia since although this model offers alternative payment services it also triggers a potential fraud risk.

Due to the increasing significance of modern payment services in the country, the Colombian Central Bank is currently developing an Immediate Payment System (Sistema de Pagos Inmediatos) that will enable users to make immediate wire transfers regardless of where the money is deposited (e.g. accounts from any bank, digital wallets, etc.). Besides this, the system seeks to reinforce security in the transactions, as well as the efficiency of financial institutions and their liquidity. The Colombian Central Bank has stated that this system would begin operations in September 2025.
Additionally, the private sector developed its own system known as “Llave”, a shared digital identity and authentication solution created through a joint initiative of leading private financial institutions. Llave enables users to verify their identity once and use the same credentials across different banks, wallets, and payment platforms, allowing secure and immediate transfers between accounts at no cost to the end user. This tool complements the public Immediate Payment System by facilitating fast, frictionless money movement and enhancing trust in digital transactions, while reducing fraud and improving financial inclusion.


Legal affairs

Obligations and requirements to provide payment services or ancillary services described above

Law 1735 of 2014 regulates online payments services in Colombia. This law created a special kind of companies, the Specialized Companies in Deposits and Electronic Payments (known for its initials in Spanish as Sedpes). Sedpes companies act as a channel to collect funds from the public to facilitate electronic transfers and payments.

Colombian law states that financial institutions and Sedpes companies may offer electronic deposits with simplified opening procedures. Sedpes companies may be established by an individual or a legal entity provided the requirements established for this purpose in Colombian law are fully complied (i.e. specific company purpose, minimum capital accredited, among others).

On the other hand, a bill that establishes protections for e-commerce consumers has completed its legislative process before the Colombian congress and awaits approval for its publication as a law (Law Project 184/22). This forthcoming legislation will safeguard consumer rights in the specific context of e-commerce.

To that effect, this bill includes obligations for e-commerce businesses, among which are (i) the refund of money to the consumer when they retract from the purchase through the same payment method used to pay for the product, (ii) providing clear, detailed and updated information about the products and/or services offered, and (iii) establishing personalized customer service channels to address consumer claims and requests.

In addition, multiple of Colombia’s biggest financial entities created ACH Colombia. This institution’s main objective is to facilitate online payments. To that effect, ACH created PSE, a payment gateway which allows customers to pay through their online savings accounts. Commercial establishments must comply with the following conditions established by ACH Colombia to offer these online payment services:

  • The commercial establishment must maintain a checking or savings bank account with any Colombian financial institution that is linked to ACH Colombia, where the establishment will receive collected amounts.
  • The commercial establishment must be presented by its trusted financial institution.
  • The commercial establishment must develop a website and undergo a technical process of implementation, testing and certification before ACH Colombia, which includes the creation of a secure communication channel (VPN), implementation of a digital certificate and development of web services required for functionality.

Additional comments regarding the legal situation for payment services or what FinTech’s must be aware of in this business area

N/A


Economic conditions

Market size for payment services and biggest payment service providers

In recent years, Colombia’s e-commerce sector has continued its robust expansion, reaching online sales of COP 105.4 trillion in 2024, representing an annual growth rate of 26.7% and recording COP 27.3 trillion in transactions during the first quarter of 2025 alone. This growth has been accompanied by a steady rise in transaction volume, with over 839 million online transactions processed in 2024 and more than 131 million in the first quarter of 2025.

The e-commerce boom in Colombia has triggered the commercialization of a significant number of national and international technological solutions that include payment gateways (payment methods), logistics services, personalized web development and even pre-designed ready-made virtual stores.

There are at least seven (7) payment gateways that have become known and used in the sector. Among those authorized are the following:

  • Epayco;
  • PSE;
  • Mercado Pago;
  • PayPal;
  • PayU;
  • Wompi; and
  • Zona Pagos.
  • Nequi

Additional comments regarding the economic situation for payment services or what FinTech’s must be aware of in this business area

N/A

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