Card payment sucharges banned in Australia from 2026

[SeaWolf]

I just bought something at a restaurant that cost $21.90. There was a notice on the counter that Visa and Mastercard attract a 1.5% surcharge. I was then handed an eftpos terminal with the amount showing as $22.40. How is this legal?

It's not legal, but who's going to stop them? One of the major issues with the current system has been the near total lack of enforcement of the already too weak rules. Also, how many people do you think would notice that the surcharge is wrong? I'm guessing almost no one. You've been very diligent checking it, but you're probably the first to do that.

It's frustrating, but what you've just experienced is one of the reasons cited by the RBA to put an end to this mess.

 

[GrahamBRI]

It's frustrating, but what you've just experienced is one of the reasons cited by the RBA to put an end to this mess.

I am not convinced (yet) that the RBA will achieve anything effectual. Time will tell, but their changes compelling retailers to display CC charges, were clearly not effective, what will make these effective - as I understand it; weekend surcharges, public holiday surcharges, fuel surcharges, corkage fees, and, and, are sill all okay…….. these CC changes will just shift revenue structures, I do not expect them to change revenue outcomes…… so the net cost to the net consumers will be exactly the same….. my thoughts.

 

[Mr_Orange]

weekend surcharges, public holiday surcharges

Don't get me started on this nonsense!

 

[Mr_Orange]

what will make these effective

That's a fair question on the basis of the apparent lack of enforcement of the current rules. From about mid-August, I intend to start telling the businesses that I use regularly about the upcoming ban on surcharging. I'm not sure how effective that will be, but it can't hurt.

 

[LondonAussie]

Don't get me started on this nonsense!

I had lunch at a restaurant today that had “daily surcharge” on the bill (and a card surcharge on top of that). Questioned it with the waiter and he said it was for the fuel crisis. Felt like we were getting scammed.

 

[burmans]

That's a fair question on the basis of the apparent lack of enforcement of the current rules. From about mid-August, I intend to start telling the businesses that I use regularly about the upcoming ban on surcharging. I'm not sure how effective that will be, but it can't hurt.

As is evidenced in the example given above with current rules it's not necessarily easy to determine if the rules are being broken (though some cases are indeed fairly obvious), it will be much easier with the new rule and hence I suspect easier to notice (and report) and therefore enforce.

 

[SeaWolf]

I had lunch at a restaurant today that had “daily surcharge” on the bill (and a card surcharge on top of that). Questioned it with the waiter and he said it was for the fuel crisis. Felt like we were getting scammed.

By the sounds of it you have been scammed. If that surcharge was incorporated into the displayed price, so the menu said $20 for the item and that's what you paid and the surcharge was only broken out in the bill (i.e. the displayed price included the surcharge), then that would be fine. But it sounds like what you're saying is that the menu price said $20 and then the surcharge was added on top, which is not legal unless there's a way to avoid the surcharge somehow.

There's some quotes from NSW Fair Trading in this ABC article outlining what is and isn't permitted.

What to know about cafes using surcharges to offset fuel crisis impact

Shoppers may have noticed an extra charge at the checkout as businesses seek to offset rising operational costs associated with the fuel price hike. Here is what you need to know.

www.abc.net.au

By the sounds of it NSW Fair Trading is keen to hear about examples of this occurring, so I'm guessing all the relevant state fair trading bodies would be interested in it being reported.