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About the 2026 RBA Payment Reforms

On 31 March 2026, the Reserve Bank of Australia's Payments System Board published its Conclusions Paper following an extensive review of merchant card payment costs and surcharging. The reforms represent the most significant change to Australia's payments landscape in over two decades.

"The PSB has concluded that a package of reforms that includes removing surcharging, reducing interchange fees and increasing transparency would be in the public interest and promote competition and efficiency in the payments system."
Reserve Bank of Australia — Media Release 2026-10, 31 March 2026

The three principal measures confirmed by the Payments System Board are as follows:

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Removal of card surcharges
Surcharging on debit, prepaid and credit cards across designated eftpos, Mastercard and Visa networks will be prohibited from 1 October 2026. Businesses may no longer pass card acceptance costs to consumers through surcharges.
2
Reduction in interchange fee caps
The caps on interchange fees paid by Australian businesses will be lowered. The RBA has noted that small businesses are expected to benefit most, as they tend to pay fees closer to the existing caps.
3
Increased fee transparency
New transparency obligations will be placed on card networks and payment service providers, making it easier for businesses to compare providers and negotiate better rates.
"Small businesses should benefit the most because they tend to pay fees closer to the existing caps."
Reserve Bank of Australia — Conclusions Paper, March 2026
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Legislative Timeline & Key Dates

The following table sets out the confirmed implementation dates for all measures contained within the RBA's Conclusions Paper. Businesses are advised to ensure compliance and rate review is completed prior to these dates.

Date Reform Status
31 Mar 2026 RBA Conclusions Paper published. Final decisions confirmed. Enacted
1 Oct 2026 Card surcharge ban takes effect across eftpos, Mastercard and Visa networks. Interchange cap reductions for domestic transactions commence. Upcoming
1 Apr 2027 Interchange cap introduced for foreign card transactions. Additional payment cost transparency obligations commence. Scheduled
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AMPA Business Advisory — What You Need to Do

With card surcharging prohibited from 1 October 2026, the cost of accepting card payments will be absorbed directly into your business operating costs. For businesses that currently rely on surcharging to offset merchant fees, your base merchant rate becomes a critical cost line.

Advisory Notice

AMPA strongly advises all Australian businesses accepting card payments to undertake a formal merchant rate review prior to 1 October 2026. The RBA's reforms also increase transparency obligations on providers, which means businesses now have greater grounds to negotiate or switch.

The Australian Merchant Payment Advisory recommends the following actions for all affected businesses:

1
Review your current merchant rate immediately
Locate your current merchant services agreement and identify your effective rate. Many businesses are unaware they are paying above-market rates on contracts that have auto-renewed without review.
2
Obtain a market comparison across multiple providers
The RBA's transparency reforms mean providers are now obligated to disclose fees more clearly. Use this to your advantage by obtaining formal quotes from multiple providers. AMPA's approved comparison platform, MerchantRates.com.au, compares 20+ providers at no cost.
3
Negotiate or switch before October 1
Businesses that act before the October 1 deadline are in a stronger position to negotiate with existing providers or switch without penalty. Waiting until after the ban takes effect may mean absorbing higher rates for the duration of your contract.
4
Reprice products and services accordingly
Where card acceptance costs were previously passed to consumers through surcharges, businesses should review pricing structures to ensure card payment costs are appropriately incorporated into base pricing.
AMPA Approved Comparison Service

AMPA has established a partnership with MerchantRates.com.au to provide Australian businesses with a free, independent merchant rate comparison service. MerchantRates compares 20+ payment providers and guarantees to beat your current rate — or pays you $100 for your time.

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About the Australian Merchant Payment Advisory

The Australian Merchant Payment Advisory (AMPA) is an independent advisory body established to support Australian businesses in understanding and preparing for legislative and regulatory changes affecting merchant payment systems.

AMPA does not operate as a payment provider, financial institution, or government agency. AMPA is not affiliated with the Reserve Bank of Australia, the Australian Competition and Consumer Commission, or any payment network. All advisory content is provided for informational purposes and does not constitute financial or legal advice.

Businesses requiring specific financial, legal or compliance advice in relation to the 2026 RBA reforms should consult a qualified professional adviser.