Card surcharges are banned from 1 October 2026: what it means when you pay bills by card
From 1 October 2026, most Australian businesses can no longer add a surcharge when you pay with Visa, Mastercard, eftpos or American Express. If you often pay council rates, utilities or other bills by card — in person, online or through a biller’s portal — here is what changed and what did not.
General information only. This article is not financial advice. Consider your circumstances and use credit responsibly.
What changed on 1 October 2026
business.gov.au states that from 1 October 2026 businesses can no longer apply surcharges to card payments, including Visa, Mastercard, eftpos and American Express transactions. The ACCC gives the same date and says businesses can no longer charge a surcharge for payments made using those networks’ credit, debit or prepaid cards.
The Reserve Bank of Australia (RBA FAQs) explains that the changes apply to surcharges added because a customer pays by card. eftpos, Mastercard and Visa each introduced “no-surcharge” rules from 1 October 2026 for credit, debit and prepaid cards on their networks, including internationally issued cards. American Express also decided to remove surcharging from that date.
Why the rules changed
On 31 March 2026 the RBA announced changes to card payment surcharging in Australia, according to the ACCC. The RBA concluded it was in the public interest to remove surcharging on designated card networks (eftpos, Mastercard and Visa) from 1 October 2026. To allow that, the RBA lifted its prohibition on “no-surcharge” rules from that date, which let those networks ban surcharging on their cards.
business.gov.au notes the review found surcharging had become complex for businesses and customers. The ACCC adds that Visa, Mastercard and eftpos chose to introduce no-surcharge rules from 1 October 2026 for prepaid, debit and credit cards on each network.
What you should see at checkout
When you pay a biller directly — for example on a council payment page, at a retailer, or through a business invoice link — the total for Visa, Mastercard, eftpos or Amex should not include a separate card surcharge from 1 October 2026 onward, subject to the network rules and any limited exceptions described by your payment provider.
The RBA says many merchants’ payment service providers planned to remove surcharging functionality from terminals around 1 October 2026. If you still see a line item labelled as a card surcharge on one of those networks, the RBA suggests raising it with the business first, then contacting the relevant card network if needed (the network is shown on an EFTPOS receipt).
Businesses may still recover the cost of accepting cards in their overall prices. The ACCC says they must not give false or misleading information about prices or why prices change — for example blaming a price rise entirely on the surcharge ban when other costs also increased.
Fees and surcharges that are not covered
The new rules apply only to card payment surcharges. They do not affect weekend surcharges, public holiday surcharges, booking fees, service fees or other charges that are not tied to paying by card, according to business.gov.au, the ACCC and the RBA.
Hospitality businesses can still apply weekend or public holiday surcharges where permitted, as long as those charges comply with existing Australian Consumer Law price-display rules. The ACCC also warns businesses not to relabel a card surcharge as another fee to get around network rules — that may be misleading conduct.
Paying bills by card after the ban
Many Australians pay bills with a credit or debit card through the biller’s own website, over the phone, or in person. After 1 October 2026, those direct payments should follow the no-surcharge rules above when the business is charging your card as the merchant.
Some people route bills through a third-party bill-payment app or website so the payment appears on their card statement differently or to use a card the biller does not accept directly. Those services charge their own fees for the payment service. Card network no-surcharge rules apply to merchants accepting card payments; how they apply to any given third-party service depends on that provider’s arrangements. Before you pay, check the provider’s current fee page and read what you will be charged.
For an overview of paying everyday bills on a card, see our guide to paying bills by credit card. For council-specific options, see council rates by card. To compare two popular business-oriented services, see Sniip vs pay.com.au.
Lower interchange caps and later dates
The RBA’s reforms include steps beyond removing checkout surcharges. Its FAQ timeline notes that on 1 October 2026 lower interchange fee caps apply to domestic card transactions, alongside the end of the RBA’s prohibition on no-surcharge rules.
Further milestones from the same RBA summary include:
- 30 October 2026: designated card networks and large acquirers must begin publishing specified information about card payment fees on their websites (the RBA republishes the data).
- 30 January 2027: large acquirers begin publishing information on how interchange fee reductions flow through to merchant service fees.
- 1 April 2027: interchange fee caps apply to foreign-issued card transactions acquired in Australia, and acquirers must provide more detailed merchant statements.
business.gov.au expects interchange cap changes to help lower card payment costs over time, particularly for small businesses. That may affect how billers price their services, but individual bill amounts will still vary by provider.
What happened to ACCC excessive surcharge rules
Before 1 October 2026, the ACCC enforced “excessive” card surcharge rules for certain networks: surcharges could not exceed the business’s cost of accepting that card type. The ACCC notes those excessive surcharge rules ended on 1 October 2026. Enforcement of no-surcharge rules now sits with card networks and payment service providers, while the ACCC continues to enforce Australian Consumer Law on matters such as misleading pricing.
Frequently asked questions
Can businesses still add a card surcharge after 1 October 2026?
For Visa, Mastercard, American Express and eftpos credit, debit and prepaid cards, businesses can no longer charge a card payment surcharge from 1 October 2026, according to business.gov.au and the ACCC.
Do weekend or public holiday surcharges still apply?
Yes. The ACCC and RBA say the changes apply only to card payment surcharges, not to weekend surcharges, public holiday surcharges, booking fees or other non-card charges.
Can businesses increase prices instead of surcharging?
Yes. The ACCC says businesses can build card acceptance costs into overall prices but must not mislead customers about prices or the reasons for increases.
Can businesses offer a discount for paying with cash or PayID?
The ACCC says businesses can offer discounts for particular payment methods, but the displayed price must be the full price without the discount, and discounted prices must not be shown more prominently than the full price.
Who enforces the no-surcharge rules?
The ACCC states that no-surcharge rules are set by card networks and enforced by networks or payment service providers, not by the ACCC.
Sources
Checked on 17 Oct 2026. Rules evolve — confirm with the source before you rely on dates or fees.
- business.gov.au: New card payment surcharge rules (published 1 Oct 2026) (opens in a new tab)
- ACCC: Card surcharges (opens in a new tab)
- RBA: FAQs — removal of card payment surcharges from 1 October 2026 (opens in a new tab)