From 1 October 2026, the Reserve Bank of Australia (RBA) will ban surcharges on debit, credit, and prepaid card payments across EFT, POS, Visa, and Mastercard. This means businesses will no longer be able to pass on card processing fees to clients as a separate surcharge at checkout.
The RBA is also slashing the fees your payment provider charges you behind the scenes (interchange fees). That’s designed to offset the ban. But those savings don’t land in your account automatically. Your provider has to actually pass them on, and right now, there’s no guarantee they will.
The new interchange fee caps are lower across the board, and small businesses are getting larger reductions than big retailers. On top of that, from April 2027, the RBA is introducing caps on foreign card transactions (which have historically been much more expensive) and requiring payment providers to publish their fees in a standardised format.
3 Things to Do Before October 2026
Three things to sort out before the surcharging ban kicks in.
- Get a full fee breakdown
Your payment provider probably bundles interchange, scheme fees, and their own margin into one number. Ask them to unbundle it. You want to see the interchange component (what the bank charges), the scheme fee (what Visa or Mastercard charges), and your provider’s margin separately. You need all three to know whether the new caps are actually flowing through to you. - Check the new interchange caps
Once you can see the interchange component, compare it to the RBA’s new caps. If your provider’s total fee doesn’t drop roughly in line with the interchange reduction, you’re effectively subsidising their margin. That’s your cue to shop around. And with the new transparency rules coming in April 2027, comparing providers is about to get much easier.
- Rethink your pricing
If you’ve been pricing with surcharges baked in, your sticker prices may need adjusting. This isn’t just a compliance change. It’s a pricing conversation. How do your margins hold without the surcharge buffer? Do you need to adjust menu prices, service rates, or quote structures? This is also a great opportunity to take a broader look at your pricing strategy. Many businesses are using this moment to implement small, strategic price increases across their client base.