ATMC Members Briefed on Upcoming RBA Surcharge Rule Changes

The Association of Travel Management Companies (ATMC) held a meeting in July to brief its members on the upcoming changes to the Reserve Bank of Australia's (RBA) surcharge rules. The RBA is abolishing the prohibition on no-surcharge rules, allowing merchants to pass on card payment fees to customers without penalty.

From 1 October, merchants will be banned from surcharging card payments made through eftpos, Mastercard, and Visa networks. American Express has also announced that it will remove surcharging from the same date, despite not being subject to RBA regulation.

The RBA is lowering interchange fees at the same time as the changes take effect, which it expects will help offset lost surcharge revenue for businesses. However, the interchange fee cap on commercial and corporate card transactions is being held at 0.8%, while the benchmark rate on business card transactions is being abolished.

ATMC chair David Goldman stated that the meeting gave members clear guidance on what's changing and why, alongside a bigger-picture view of payments as a more sustainable and transparent approach to client payments. He added that this combination of regulatory detail and commercial context would help companies manage the transition with their own clients.