The Payments System Board has confirmed that card surcharges will be removed from debit, prepaid and credit cards on EFTPOS, Mastercard and Visa networks from 1 October 2026.
Payment costs are changing – and some businesses may end up wearing more of them.
The Payments System Board has confirmed that card surcharges will be removed from debit, prepaid and credit cards on EFTPOS, Mastercard and Visa networks from 1 October 2026.
This reflects consumer preference for all costs to be built into advertised prices, rather than added at the checkout.
Lower fees are also coming
From 1 April 2027, there will also be a reduction in interchange fee caps paid by businesses.
These changes are expected to reduce the cost of accepting card payments – particularly for small businesses, which tend to pay fees closer to current caps.
There’s also a push for greater transparency, with more data to be published on fees charged across the payments system.
That could make it easier for businesses to compare providers and negotiate better deals.
The trade-off to consider
Not everyone is convinced the changes will be positive.
One industry group has warned that removing surcharges may mean some businesses absorb costs they previously passed on.
That could put pressure on margins, especially in sectors where pricing flexibility is limited.
This is where reviewing your cost structure and payment provider setup can uncover savings.
Want to understand how these changes could affect your margins? Reach out and we can review your payment costs alongside your broader finance setup.
