Little is known about the ecology, behaviour or life history of this species. Predators include the Barn Owl (Tyto alba). Members of Carterodon have been found in vegetation types such as grass, shrubs, and cerradáo (a forest savannah dominated by trees above ca. 8 m in height). This species is rarely encountered (Bezerra and Bonvicino 2015). This species inhabits the Cerrado biome, with an apparent association with the more open formations such as campo úmido, campo limpo, campo sujo, and campo cerrado. The species is semi-fossorial and herbivorous based upon few observations and the morphology of the dentition.

This species occurs only in the tropical savannah and grassland habitats of the Cerrado biome in central Brazil, at elevations between 250 and 1,100 m (Fabre 2016, Bezerra and Bonvicino 2015). Most captures occur in more open, or campo, formations within the biome. It appears to be uncommon in habitats with lots of arboreal cover, however the small number of specimens makes any generalization difficult. Bezerra et al. (2011) report only 11 localities in the Cerrado with records of Carterodon.

The species is currently known from only three protected areas: Grande Sertão Veredas National Park (231,600 ha), Serra de Caldas Novas State Park (12,300 ha), and the Serra das Araras Ecological Station (28,700 ha). These three areas are all distant from each other. The most critical action is to conduct surveys to find additional localities and attempt to gain some estimate of the populations protected in these reserves.