In contrast to the traditional fillers, clay, in particular, natural smectite clay represents an environmentally significant alternative to improve the properties of polymers. Compared to con-ventional nanofillers, smectite clay can effectively enhance the physical and mechanical properties of polymer nanocomposites with a relatively small amount of addition (< 5 wt%). The present study focuses on investigating the reinforcing efficiency of different amounts (up to 5 wt%) of a natural Brazilian smectite clay on the mechanical and thermal properties of poly(butylene terephthalate) (PBT) nanocomposites. Natural Brazilian clay modified by addition of quaternary salt and sodium carbonate (MBClay) was infused into the PBT polymer by melt extrusion, using a twin-screw extruder. It was found that the best properties for PBT were obtained at 3.7 wt% of modified BClay. Tensile strength at break exhibited an increase of about 60 %, flexural strength increased by 24 % and flexural modulus increased by 17 %. In addition, an increase in the crystallinity percentage of PBT/BClay nanocomposite was confirmed by DSC and XRD analysis, and a gain of about 45 % in HDT was successfully achieved due to incorporation of 3.7 wt% of MBClay.