RBA Confirmed: Card surcharges will be banned from 1 October 2026 — check you're on the right rate →

How to prepare for the 2026 surcharge changes

From 1 October 2026, when you can no longer surcharge eftpos, Mastercard or Visa payments, your merchant rate on those cards stops being something you pass on and becomes a direct cost. The good news is twofold: preparing is straightforward, and the RBA is also cutting interchange fees, so your underlying cost of acceptance may fall at the same time — particularly for small businesses.

This is a practical checklist, not legal advice. It covers understanding what you pay today, fixing your surcharge settings before the start date, and comparing your rate so you go in on the sharpest terms available. For the official rules and timing, always refer to the RBA at rba.gov.au.

Step 1: Find out what you actually pay

Pull your last few merchant statements and work out your blended rate: the total fees you paid divided by your total card turnover. This single percentage is what will sit directly with you on eftpos, Mastercard and Visa once surcharging is removed. Note any fixed monthly, terminal or minimum fees too, as they form part of your real cost of acceptance.

Keep an eye on this figure through late 2026. Because the RBA is lowering domestic interchange caps from 1 October 2026, the cost component built into your rate may come down — but only your statements will tell you whether your provider passes that through. Clear, comparable pricing is exactly what the reforms are designed to encourage.

Step 2: Fix your surcharge settings

If your terminals or online checkout currently surcharge, identify where and how, because surcharging on eftpos, Mastercard and Visa must be switched off by 1 October 2026. Map every payment point — countertop, mobile and online — so nothing is missed. You may still apply a surcharge on American Express and PayPal, provided it does not exceed your cost of acceptance for those methods.

Avoid the tempting workaround: you cannot rebrand a card surcharge as an "admin," "service" or "handling" fee to keep charging it. That is prohibited under the Australian Consumer Law. Plan instead for how removing the surcharge affects your pricing — some businesses absorb the cost, others revisit prices so margins hold. Knowing your blended rate from Step 1 tells you exactly how much is at stake.

Step 3: Compare your rate while you have time

This is the highest-value step. Because your merchant fee becomes a direct cost, even a modest reduction flows straight to your bottom line every month. The reforms will also require card networks and large providers to publish their fees, making comparison easier than ever — so there is real benefit in getting ahead of it rather than scrambling near the deadline.

Use our savings calculator to estimate the difference a lower rate could make, and get a free comparison if you want the exact numbers for your business. Switching is usually low-disruption: in most cases the terminal and setup stay the same, and only the rate changes.

This page is general information only and is not legal or financial advice. The RBA sets the final rules and timing — confirm current details at rba.gov.au.
Common questions
Your questions, answered
What do I actually need to do before 1 October 2026?
Three things: know your blended merchant rate, switch off surcharging on eftpos, Mastercard and Visa by the start date, and compare your rate. You can keep a compliant surcharge on Amex and PayPal. Acting early means you absorb the change comfortably and can take advantage of lower interchange and clearer published fees.
How do I work out my current merchant rate?
Take the total card fees from a recent statement and divide by your total card turnover for the same period, then add any fixed monthly or terminal fees. That blended figure is your real cost of acceptance and the number worth comparing. Our calculator can turn it into an estimated annual cost.
Will I have to change my terminals?
Usually not. Preparing is mostly about understanding your rate and adjusting surcharge settings, not replacing hardware. If you do choose to switch providers for a better rate, in most cases you keep a similar terminal and setup, with only the rate changing.
Can I still surcharge to recover card costs after the change?
Only on the methods not covered — American Express and PayPal — and only up to your actual cost of acceptance. You cannot surcharge eftpos, Mastercard or Visa from 1 October 2026, and you cannot disguise a card surcharge as an admin or service fee. The cleaner path is to secure a lower rate so there is less cost to recover.
Should I switch providers now or wait?
Comparing now lets you move calmly rather than in the rush near the deadline, and the new fee-transparency rules make comparison easier. Because a lower rate becomes a direct saving once surcharging is removed, there is little downside to checking your options early. We can't guarantee savings, but a free comparison shows you where you stand.

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