Card payment sucharges banned in Australia from 2026

[Berlin]

I went to my local chemist today and the terminal had at the bottom in a red banner 'surcharging disabled'.

I want to see more of this! ALDI- please?

 

[burmans]

I want to see more of this! ALDI- please?

You will, be patient!

 

[AuSammy]

I want to see more of this! ALDI- please?

They will be good, different.

 

[serfty]

They will be good, different.

Yeah, Aldi +0.5% on credit Visa/Mastercard or -2% using debit HSBC Visa.

(Both soon to be no more.)

 

[Be.au]

Yeah, Aldi +0.5% on credit Visa/Mastercard or -2% using debit HSBC Visa.

(Both soon to be no more.)

+0.5% also applies to debit Visa/Mastercard.

It's eftpos that the surcharge doesn't apply to.

 

[dajop]

TBH if (apart from lack of Amex) surchargers acted like Aldi, it probably would have been OK. 0.5% for MC/Visa, free for EFTPOS. Entirely reasonable compared to places that charge you 1.9% for everything, including EFTPOS. Especially hotels.

 

[serfty]

+0.5% also applies to debit Visa/Mastercard.

It's eftpos that the surcharge doesn't apply to.

OK, I paywave a debit Visa and get 2% discount, no 0.5% fee. It must default to EFTPOS

 

[MikeG]

For my business I’ve just implemented surcharge free cards but if you pay cash you get 2% cashback.

Doesn’t sound like a lot until you realise the average purchase price is $2,500.00 (so $50 cashback)…

This works and hopefully kicks visa and Mastercard in the guts.

Mike

+0.5% also applies to debit Visa/Mastercard.

It's eftpos that the surcharge doesn't apply to.

No it doesn’t. If you swipe these cards rather than tap them it’s surcharge free. Tapping is always surcharged.

 

[Mr_Orange]

OK, I paywave a debit Visa and get 2% discount, no 0.5% fee. It must default to EFTPOS

Paywave is not EFTPOS. You will be paying the 0.5% but then getting 2% back from HSBC. I have the same account.

 

[Be.au]

For my business I’ve just implemented surcharge free cards but if you pay cash you get 2% cashback.

Doesn’t sound like a lot until you realise the average purchase price is $2,500.00 (so $50 cashback)…

This works and hopefully kicks visa and Mastercard in the guts.

Mike

No it doesn’t. If you swipe these cards rather than tap them it’s surcharge free. Tapping is always surcharged.

My Macquarie Debit is Mastercard only, and so always attracts the surcharge. No eftpos.

Regardless of tap, swipe or insert - it'll always be a Mastercard transaction and apply the Mastercard surcharge.

Not all debit Visa or Mastercard cards have eftpos.

Paywave is not EFTPOS. You will be paying the 0.5% but then getting 2% back from HSBC. I have the same account.

Contactless eftpos is a thing.

TBH if (apart from lack of Amex) surchargers acted like Aldi, it probably would have been OK. 0.5% for MC/Visa, free for EFTPOS. Entirely reasonable compared to places that charge you 1.9% for everything, including EFTPOS. Especially hotels.

Unfortunately if they're being charged 1.9% for all cards, regardless of scheme - Amex, eftpos, Mastercard, Visa, etc - then that's why they're passing it on.

(looking at you, early Square customers)

 

[kyle]

Medibank Private are the worst of the pack in my eyes.

If you ask to be invoiced, Amex payment is accepted via PayPal on postbillpay.

 

[offshore171]

Here's my receipt from the Hellenic Club in Canberra from earlier this week. No such fee was added to the food bill, which was ordered at a counter and processed by a different entity, so who's to say it's a card fee by another name, or a fee for using the 'order at table' app?

View attachment 522351

Surely that meets the definition of drip pricing?

 

[serfty]

...
No it doesn’t. If you swipe these cards rather than tap them it’s surcharge free. Tapping is always surcharged.

Paywave is not EFTPOS. You will be paying the 0.5% but then getting 2% back from HSBC. I have the same account.

This is not the case ... See both a photo of receipt from a HSBC VISA Paywave Payment at ALDI and how it appears on my HSBC account from last week ... (note that to get the 2% discount with HSBC at ALDI, I found I had to paywave) ...

 

[Oubline]

This is not the case ... See both a photo of receipt from a HSBC VISA Paywave Payment at ALDI and how it appears on my HSBC account from last week ... (note that to get the 2% discount with HSBC at ALDI, I found I had to paywave) ...

You’re right, the key is to use the physical card. It routes it through as an Eftpos transaction but still counts as pay pass.

 

[MikeG]

Our foster child’s school uses an online payment gateway for lunch orders. They went from Charging a % fee To charging a fixed price fee and figure that is ok. Suffice is to say I reported them to the ACCC when they tried to justify this stance.

 

[Zero]

This is not the case ... See both a photo of receipt from a HSBC VISA Paywave Payment at ALDI and how it appears on my HSBC account from last week ... (note that to get the 2% discount with HSBC at ALDI, I found I had to paywave) ...

Agree. Tapping physical HSBC card (I don't use it on a phone) at ALDI is not surcharged and gets 2% cashback.

Inserting the HSBC card is not valid for cashback.

I have tapped the HSBC card at merchants which have different surcharges for eftpos vs VISA, and this is also usually surcharged at the eftpos rate (often something like flat 20c) rather than the %-based VISA rate (which I am prepared to pay anyway as long as it's under 2%), and receives 2% cashback.

I believe this is called Lowest Cost Routing.

 

[transpactraveller]

Well I wish I knew this months ago, I've been using my HSBC cashback card via Apple Pay. In fact HSBC actively promoted adding the card to Apple Pay.

If I knew it cost 1-2% less to use the physical card instead then I would have always done that. And cared much less about surcharges too!

The banks and merchants obviously don't want you to know this because they make less profit.

 

[Zero]

Well I wish I knew this months ago, I've been using my HSBC cashback card via Apple Pay. In fact HSBC actively promoted adding the card to Apple Pay.

If I knew it cost 1-2% less to use the physical card instead then I would have always done that. And cared much less about surcharges too!

The banks and merchants obviously don't want you to know this because they make less profit.

You're supposed to get the HSBC cashback on Apple Pay transactions too.

I've never had an iPhone but I have heard that there is a way to set Apple Pay to route via eftpos

 

[transpactraveller]

I do get the HSBC 2% cashback via Apple Pay, but I also pay full card surcharges this way.

Apparently tapping the physical card you still get the 2% cashback but with a reduced or no surcharge.

If you insert the physical card to avoid the surcharge you do not get the cashback.