An invisible transformation is occurring across Latin America. The future of banking is moving beyond traditional accounts and into the digital infrastructure of our physical world. For the mobility sector, this means journeys across highways and through petrol stations are becoming the new frontier for digital finance.

Leading mobility platforms no longer have to settle for being mere service providers. By integrating digital banking directly into their apps, they can handle complex transactions and boost customer loyalty. Whether it is a daily commute or complex freight logistics, modern banking can be most effective when it is invisible.

Key Takeaways

• Market Growth: Embedded finance in Latin America is projected to reach $20 billion by 2027, according to Juniper Research, with the mobility sector serving as one of the primary drivers for B2B and B2C adoption.

• Regulatory Shift: Automatic payment solutions for tolls and parking are developing from desirable add-ons to essential infrastructure, especially with new regulations in countries like Brazil mandating 100% digital vouchers for freight.

• Modular Payment Options: Mobility companies can now enhance their account offerings with prepaid and postpaid options without needing to build the necessary digital payment infrastructure from scratch.

• High Performance without Heavy Lifting: Next-generation digital banking tools allow brands to manage high-volume, low-latency transactions across thousands of touchpoints like gas stations and toll booths.

• Collaborative Options: Cloud-native platforms can also provide the agility to launch "white-label" or "co-branded" solutions, enhancing loyalty for both individual drivers and corporate fleets.

Why is the Mobility Sector the Next Frontier for Digital Banking in LatAm?

The shift toward a cashless Latin America is accelerating. In a region where 60% of consumer expenditure in Latin America is electronic, the friction of stopping to pay a toll or manually filing a fuel receipt could quickly become obsolete.

Mobility companies are uniquely positioned to bridge this gap. Because they own the high-frequency daily touchpoints with the consumer, they have the perfect ecosystem to embed financial services. Just look at the latest collaboration between Nubank Colombia and GoPass, enabling customers to pay at toll booths automatically with a digital tag. This transformation can be driven by several regional trends:

• Regulatory mandates: New laws in major LatAm markets are increasingly requiring electronic verification for freight tolls to ensure transparency and efficiency.

• Corporate demand: Businesses are moving away from cash-based reimbursements toward integrated fleet management platforms that track fuel and maintenance in real-time.

• Consumer expectations: Modern drivers often expect an integrated payment experience where their vehicle tag can handle parking, tolls, and even refueling automatically.

What Does Mobility Banking Actually Look Like?

For a consumer or a fleet manager, the bank is simply embedded within an app that facilitates movement. These solutions allow users to:

• Automate Tolling: Use radio-frequency tags to bypass lines, with payments processed instantly via a linked digital account.

• Manage Fleet Expenses: Corporate clients can allocate mandatory toll vouchers to drivers, ensuring funds are used exclusively for authorized routes.

• Pay for Services: From parking garages to gas stations, the mobility app can act as a digital wallet that works across a vast partner network.

• Access Credit: Offering postpaid options or buy now pay later (BNPL) for vehicle taxes and fines.

What are the Main Challenges for Integrating Payments and Mobility?

While mobility companies excel at logistics, they often hit a wall when it comes to financial technology. Traditional banking cores were not built for the mobility use case:

• Scalability Issues: Legacy systems can struggle to handle the burst of transactions that occur during peak traffic hours.

• High Maintenance Costs: Research shows that many Latin American firms spend a significant amount of their IT budgets simply maintaining outdated infrastructure.

• Lack of Flexibility: Hard-coded systems can make it nearly impossible to launch a new co-branded tag or a specialized B2B product quickly.

The Strategy for Success: Rather than trying to build a proprietary banking stack, innovative mobility leaders are partnering with agile fintechs like Galileo. By using a platform like Cyberbank Core, these companies can manage complex prepaid and postpaid systems, supporting everything from individual commuters to multinational logistics firms.

How Does a Modular Banking Core Improve Scalability for Transport Operators?

True modernization involves more than just a backend. It requires a snagfree bridge between the transaction and the user. By combining Cyberbank Core with Cyberbank Digital, mobility providers can:

1. Manage the Engine: The Core handles accounting, billing systems, and interfaces with external modules.

2. Design the Experience: The Digital layer helps create the app and web channels where users track statements, request new tags, and manage their white-label accounts.

The Galileo Case Study: This approach was successfully implemented by a major regional vehicle payment platform that partnered with Galileo to support its individual and corporate products. Their partnership allowed them to scale their open sea tolling and parking solutions while maintaining the stability required for high-volume financial operations.

Addressing the Potholes: Is Embedded Finance Difficult to Implement?

We recognize that the transition isn't always smooth. Many operators worry about:

• Compliance: Navigating the different financial regulations in Mexico, Brazil, and Colombia.

• Disruption: The fear that upgrading systems will cause downtime for current fleets.

The Galileo Approach: Our API-led philosophy means you don’t have to rip and replace. We provide the regulated infrastructure and the tech stack, allowing you to focus on your fleet while we handle the financial complexity.

Lessons for the Mobility Industry

The success of tech-forward transport companies provides a blueprint for others in the sector. To remain competitive, mobility players should:

• Focus on High-Frequency Use Cases: Prioritize the payments that happen every day (tolls, fuel, parking).

• Leverage B2B Opportunities: There can be massive value in helping companies manage fuel costs and maintenance through telemetry and integrated supply management.

• Embrace Invisible Finance: The best financial product is often the one the user doesn't have to think about while they are driving.

• Partner, Don't Build: Use proven API-led platforms to help reduce time-to-market and operational risk.

Transform Your Mobility Strategy

By embedding banking services into the mobility journey, companies can unlock new revenue streams, increase customer loyalty, and drive regional efficiency.

Ready to turn your mobility platform into a financial powerhouse? Contact Galileo to learn how our Cyberbank solutions can help you lead the movement toward a frictionless, digital-first mobility ecosystem in Latin America.

Frequently Asked Questions

How does digital banking help freight transporters?

Digital infrastructure allows for the automated issuance of mandatory toll vouchers. This helps ensure that the shipper covers the cost of the toll in advance, reducing the financial burden on the driver and increasing transparency across the logistics chain.

What is the difference between a legacy core and a modern banking core for mobility?

Legacy cores are often slow and rigid. A modern, cloud-native core like Cyberbank Core is designed for high-volume, real-time transaction processing and can easily integrate with external modules like accounting and billing systems.

Can non-bank mobility companies legally offer these services?

Yes, through Banking-as-a-Service (BaaS) models. By partnering with technology providers like Galileo, mobility companies can leverage a regulated bank's infrastructure to offer financial products under their own brand.

What are the benefits of White Label tags?

White labeling allows mobility companies to partner with major banks or retailers to offer co-branded payment tags. This helps expand their reach and allows them to tap into the existing customer bases of large financial institutions.