Card Surcharges Banned: Retailers Scramble to Comply with New Rules

Australia's card payment surcharge regime has come to an end after more than two decades. From October 1, businesses can no longer add a separate surcharge when customers pay by eftpos, Visa or Mastercard.

The Reserve Bank of Australia estimates that the reforms could save businesses around $910 million a year through lower interchange fees, while consumers have previously paid about $1.6 billion annually in card surcharges.

Businesses face the challenge of absorbing payment costs that were previously passed directly to customers at the checkout. The Australian Small Business and Family Enterprise Ombudsman has advised businesses to check their EFTPOS terminals, point-of-sale systems, invoicing software, websites, and online payment platforms.