Things are about to change!
Following the Reserve Bank of Australia’s publication of the “Conclusions Paper on the Review of Merchant Card Payment Costs and Surcharging” on March 31, 2026, we have reviewed the changes and outlined any impacts on our business.
Key RBA changes
Card surcharging will effectively be removed
From 1 October 2026, merchants will no longer be able to surcharge payments made using Visa, Mastercard, Amex and eftpos cards. The RBA is removing restrictions that previously prevented card schemes from enforcing “no-surcharge” rules, and all schemes are expected to implement those rules.
Interchange fees will be reduced
The RBA is lowering interchange caps for Domestic Consumer Credit cards from the current cap of 0.8% to a new cap of 0.3%. It is important to note that this does not apply to Corporate or Business Credit Cards.
The objective is to lower merchant payment acceptance costs, particularly for SMEs
Payment Logic Proposition Remains the Same
Payment Logic does not apply surcharges for processing payments on our platform. Our clients pay a service fee to access several benefits, including:
- Accrual of additional reward points
- Improved cash flow management through better utilization of credit limits
- Enhanced security features
Our platform has always been and remains an opt-in service, providing clients the choice to utilise these features or process payments through their banking platform.
More Businesses to Benefit from Payment Logic
In light of the upcoming market changes to surcharges and interchanges, we anticipate the following:
- BPSP Favorability: Business Payment Solution Providers (BPSPs) like Payment Logic will become an even more attractive way for businesses to earn reward points, as we expect retail and personal card payments to offer fewer reward features following the changes on October 1, 2026.
- Pricing Convergence: Existing pricing differences for Mastercard and Visa processing among competing BPSPs will likely narrow, as Strategic Merchant Rates (SMRs) previously offered to some providers will no longer be available.
