I have a state government debt to pay. If I pay using individual small amounts so as to enter some FinTech competitions where every payment is an entry, how much will it cost the taxpayers (or us)?
I wish to seek a balance between my private interests, corporate interests and taxpayers interests.
$0.52/transaction to cost to financial institutions at Payment Costs in Australia (2010)
$0.80/transaction or $0.88/transaction to business as per two Big 4 Banks (NAB & WBC)
Nothing. For credit cards which is the payment method mostly used online, most corporations/businesses are on merchant fees which are a percentage of the total transaction cost.
Bpay and Eftpos are however different and rates can be per transaction but can also be negotiated with the financial institution. It is possible that an government department may have negotiated rates similar to or less than that for credit cards.
There may be a higher cost to you if the transaction fees are per transaction rather than only a percentage of the total transaction amount.
One should also check that the institution one is making payment to can accept multiple small payments for a bill. There is a risk that the institution may not accept such payment methods, especially if they are higher than that which would be considered normal or reasonable.
