CHOICE has welcomed news that the Federal Government is prepared to ban debit card surcharges, subject to further work by the Reserve Bank of Australia (RBA) .
Quotes attributable to CHOICE Head of Policy, Tom Abourizk:
"CHOICE welcomes the Government's plans to ban surcharges on debit cards. There should be a fair and free way to pay with your own money - whether it be by cash or debit card."
"Consumers are already feeling the pinch and sneaky surcharges are adding up to significant amounts for consumers across the economy. This is despite the fact Australia has a very low cost EFTPOS network that debit transactions can pass through to avoid fees from multinational card companies like Mastercard and Visa."
"Current card surcharge practices and fees vary wildly, making it harder to know what price people can expect to pay. This can make budgeting far more difficult and adds extra financial stress people don't need during a cost of living crisis."
"Card surcharges are often disclosed at the checkout at the very last minute when it's too late to avoid them. People should be able to expect that the advertised price is the amount that gets taken out of their bank account."
"Small businesses often pay many times more to process card payments compared to the cheaper rates that card terminal providers charge larger businesses. Along with a ban on surcharges for consumers, reforms must ensure small businesses can get a fairer deal on the costs of processing both debit and credit cards."
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