BPAY and bill payment glossary

Last updated 6 Oct 2026. Fees and rules checked against primary sources on 6 Oct 2026.

Plain-English meanings for the terms you'll meet when paying bills by BPAY or by card.

BPAY

A bill payment scheme you use through your bank or credit union's online banking. You enter the biller code and your reference number, and the money goes to the biller.

Biller code

The number that identifies who you're paying through BPAY. It's printed on the bill. The ATO's is 75556.

Customer reference number (CRN)

Your own reference for a biller, printed next to the biller code. It tells the biller which account to credit. Always copy it exactly.

Payment reference number (PRN)

The ATO's name for your reference number. You have different PRNs for different tax types, such as income tax and activity statements.

BPAY View

A BPAY service that lets participating billers send bills straight into your online banking, so you can view and pay them there.

Cut-off time

The time of day after which a payment is processed the next business day. Sniip's is 5pm AEST; pay.com.au's is 6pm AET for card payments.

Business day

Monday to Friday, excluding public holidays. Processing times are counted in business days.

Processing or clearing time

How long money takes to reach the biller. The ATO says BPAY payments can take up to 4 business days to show on your ATO account.

Surcharge

An extra fee a business adds because you pay by card. From 1 Oct 2026, eftpos, Mastercard and Visa no longer allow card surcharges, and American Express has removed them too.

Merchant fee

What a business pays its payment provider to accept cards. With surcharges removed, some billers, including the ATO, have decided to stop taking credit cards rather than absorb this cost.

Processing fee

What a bill payment service such as Sniip or pay.com.au charges you to pay a bill by card. It's shown before you confirm.

Cash advance

A credit card transaction treated like withdrawing cash. It usually carries a fee and interest from day one, with no interest-free period. Some banks treat BPAY to billers that don't accept credit cards as a cash advance.

Interest-free days

The period before interest is charged on card purchases, if you pay the full balance by the due date. It doesn't apply to cash advances.

Points earn rate

How many rewards points your card gives per dollar spent. Many cards earn less, or nothing, on government and tax payments.

Points cap

A limit on how many points you can earn. For example, Sniip's Qantas Points on card payments are capped at 2,000 a calendar month.

Value per point

What a point is worth to you, in cents, based on how you redeem it. Use it to compare the points against the fee.

Break-even value per point

The fee divided by the points you earn. If your points are worth more than this, paying by card comes out ahead.

BSB and account number

The six-digit bank-state-branch code plus account number used for bank transfers. Bills without BPAY often show these instead.

EFT

Electronic funds transfer: paying straight into a bank account using a BSB and account number.

PayTo

A way to authorise a business to take payments from your bank account under a payment agreement you approve. Sniip's PayTo Plus+ (1.98%) uses it and earns 1 Qantas Point per $1.

PayID

A phone number, email or ABN linked to a bank account, so people can pay you without a BSB. The ATO doesn't yet have a PayID.

Direct debit

An arrangement that lets a biller take payments from your account or card on set dates.

DEFT

A payment reference system used on many real estate and strata bills. The bill shows a DEFT reference number.

ABN

Australian Business Number: an 11-digit number for businesses. pay.com.au needs an active ABN. Sniip needs the payee's ABN on invoices paid by BSB and account number.

ACN

Australian Company Number: a 9-digit company number. Sniip won't accept an ACN in place of an ABN on an invoice.

Chargeback

A card dispute that reverses a payment. NAB says there are no chargeback rights under the BPAY scheme, even on a credit card.

Bill payment service

A business that charges your card and pays your biller by BPAY or bank transfer, such as Sniip or pay.com.au.

Is the fee worth the points? Plug in your own card and bill in the fee vs points calculator. It shows the fee, the points, their value and your break-even cents per point.

Sources

Checked on 6 Oct 2026. Rules and fees change, so confirm with the source before you pay.