Probably.
Maybe, I am not sure how much they make from CC surcharges.
I think the main saving is not having to handle cash. They don’t have to: balance tills, make change, get floats, bank proceeds, train staff as much or watch staff so much to control theft, pay some bank fees or (for the big boys) hire armoured cars and security staff.
Decades ago nearly all wages were paid in cash, now it would be very rare indeed and you might never see it.
How many customers only take one form of payment when going out? Possibly not many. If they only take one, a patron should check that the only payment method they want to use is accepted. No differently to say using UnionPay or Amex to check businesses accept these (many don’t)…or like expecting to be able to take their own bottle of wine… or serve dishes which meets one’s dietary requirements.
If a customer wishes to be restrictive in payment methods, it assumes a business must accept any payment method they chose…from bitcoins to foreign currencies to obscure payment methods used by a few. A customer must have some onus for checking that only one payment method they wish to only use, will be accepted.
A reality is that refusal to accept cash is a relatively recent change. It will probably take a few years before everyone or just most come to grips with ‘card only no cash accepted’ venues so go with cash and cards just in case.
If eftpos systems stay up 100% of the time 
What would a business do if you don’t use a credit or debit card, as many seniors don’t? Would they refuse to give you back your short coat if you told them that? I bet they would accept cash then? Interesting that at one time many businesses preferred cash so they didn’t have to declare it for tax purposes. A changing world!
Being a senior but not without a card I am punting, but what segment of our society does not need a transactional account these days, if only to received their benefits by EFT? If one has a transaction account one gets a debit card with it, don’t they?
Over the past months I have been in many businesses and a few tourist venues that clearly post ‘card only, no cash on premises’. Whether they kept change just in case I do not know. We have dodgy power some times and our little CBD shuts down because nobody can run the EFT terminals unless they are mobile connected and charged, and few are.
Some of us cynics might think removing that temptation could be a reason governments around the globe are increasingly ‘anti-cash’. Less cynical observers list the reasons taking cash is not a ‘no cost’ method of taking payments. Profits for the financial community? A concern for certain pollies. Deuce?
It might have been an issue pre-covid, with customers that retained their passbook accounts and had no card. With Covid, debit cards were issued to all passbook account holders (who didn’t have them) to ensure they still had access to funds during lockdowns when visits to a branch wasn’t possible. Now every customer has a debit card which can be used for purchases where cards are accepted.
The ATO would prefer non-cash transactions as they are fully accountable - unlike cash.
On the other hand, a smaller supermarket chain I use accepts cash, but through a system similar to self checkouts and pay kiosks. The checkout staff do not handle cash.
Quite often this breaks down, and card has to be used.
So I always have to carry multiple options for payment.
A related topic for newer readers is
Good answer, and you are right on those points. I should have read the fine print, except that the decision to eat inside was a last minute one so I may not have paid attention. The bookings for tickets at these sort of events are done through Ticketek, not the event organiser or venue, so I wonder if the venue rules are clearly stated by Ticketek? I would need to check next time I buy tickets.
The question remains for me, what if you have no choice, except to not go to the event. In some ways, they have you over a barrel because the options are, accept all our conditions or don’t come to the event. For some events, such as last Saturday night, they may be a once-in-a-lifetime chance. Even now, it seems you must order tickets online (unavailable for those not tech able or without computer), you must pay the online surcharge (no choice).
At least they have realised how much more efficient it is to have patrons print their tickets. Those using phone barcodes at the turnstiles had endless trouble, while we skipped through first go.
I am sorry that has happened to you. There should have been a clear sign if they were going to charge a surcharge on payment using a credit card, they have a sign showing their terms of trading. I have been to many places that have a sign near the register. Same as where there are places that say $10 minimum on EFTPOS. Same as a sign that says cash only implying that they probably aren’t paying tax on the cash received. Just an assumption though! 
I tried to research this a few weeks ago. I obtained a debit card to avoid credit card surcharges. However, some businesses have a surcharge for debit cards, some don’t.
What I think the legislation says is that where the merchant charges differently for different types of card transaction, the business can only pass on the lowest of the surcharges. In the case of Aldi, they don’t apply a surcharge for eftpos transactions (which are quite small) so that they can pass on the surcharge for credit cards. Smaller businesses get hit with the same merchant charge regardless of card type so pass it on for eftpos transactions.
I think I’m still confused. Where I know there’s no surcharge, I’ll use eftpos. If I don’t know, I’ll ask or offer cash first. For my case, eftpos always asks for a PIN but the same card can act as a credit card, no PIN unless over a certain amount. It’s an inconsistent world.
That isn’t correct. Businesses can pass on cost associated with processing the payment type. These can differ depending on the payment type. The ACCC explains it as:
Some businesses include these costs in the prices they charge for their products. Others pass the costs on as a surcharge for paying with the card.
Certain rules apply when a business applies a surcharge to particular cards:
- the surcharge must not be more than what it costs the business to use that payment type
- the surcharge can only include costs that are for accepting that particular payment. For example, if a business pays an amount for gateway fees for processing credit card transactions only, the business cannot include this cost in its debit card transactions.
Is say a business has a merchant fee if 0.5% for EFTPOS transactions, 1% for Visa/MasterCard debit cards and 2% for Visa/MasterCard debit card, they can’t charge all cards 2% surcharge. They can however charge 0.5%, 1% and 2% respectively.
Where only the lowest merchant fee may be passed on is…if the payment system only allows one card surcharge rate to be added to a sale (assuming the business merchant rates vary between different card types) and a business wants to charge a surcharge, then the business can either charge the lowest merchant rate for any card presented or say charge the credit card merchant and not impose surcharges on Eftpos transactions. It is worth noting many more recent point of sale payment systems, allow variable surcharges based on payment methods or other surcharges (such as for public holidays).
If a business doesn’t have merchant fees for debit cards, but pay 2% merchant fee for credit cards only, they can’t apply 2% surcharge across the board to any card (debit or credit cards) as debit cards don’t have an merchant fees.
It is possible Aldi don’t pay or have insignificant merchant fees for EFTPOS transactions using any debit card but have higher merchant fees for payments through the credit card companies using Visa/MasterCard debit and credit cards. Note: Paywave/tapping a Visa/MasterCard debit card makes payment go through the credit card companies potentially incurring higher merchant fees for the business, compared to swiping/inserting cards and selecting savings. Selecting savings transactions are processed as an EFTPOS transaction.
This Westpac website explains business options as well.
I’ve noticed this more and more recently but, what annoys me is that I’m paying with an EFTPOS Debit card! The latest example was for a medical service, when I questioned them in regards to a $4.77 Surcharge on a $295.00 Invoice they said it was not their charge, it was the company who provided the transaction machine. I’m going to be asking every business what their terms are in future, and pay cash if a surcharge is involved when using my EFTPOS Debit card. I’m really grateful of the information that we need to be given an alternative form of payment, which doesn’t attract a fee, if a business won’t accept cash. You can be sure I’ll be holding them to it.
The medical center pays for the equipment used, whether it be medical, or office, or computer systems. You don’t.
The cost of providing a service including being paid should be reflected in the price.
If the medical center has set up their payment system to add a surcharge for EFTPOS or Paywave (tap and go) given the prices many charge, then they are a disgrace.
Fair enough if paying by credit card, particularly Amex, to add a surcharge, but not EFTPOS.
Edit: I have been paying for almost everything for the last few years using my debit card, everything from the local milkbar and bakery to supermarkets and medical centers and have only ever encountered one business that applied a surcharge. That was a takeaway chinese at a food court.
I’ve noticed quite a few businesses now have little notes on the EFTPOS machine or nearby. Some don’t mention a surcharge, but use wording suggesting that added charges or costs apply or may apply. It pays to always ask.
I’m left to wonder if the EFTPOS service providers have found a way to bend the rules and avoid transparency.
When I make a card payment using the new machines at certain restaurants, After seeing the final total, I often encounter a message displayed on the screen just before tapping my card that says “a surcharge may apply.” There is typically no visible sign about a card surcharge or indication of the specific amount I will be charged. It is only when I review my bank account transactions that I discover the exact amount deducted from my account.
In Brunswick Heads, NSW for the long weekend and came across this sign at one on the shops! I really am going to be checking if surcharges are applied whenever I use my card.
I’d like to speak to the other side of the issue.
I take cash, cards, afterpay, zip pay, bank deposits, and Paypal. I don’t charge any surcharge. That’s just rude.
After working my ass off 10-12 hours a day for 32 years, I have 2 retail stores.
I try to treat customers as I would like to be treated myself.
Cash costs me more than credit cards (0.79%), particularly in time (at least 3 hours per week of wasted productivity) and bank fees (yes I count the cash, stand in line at the bank and get charged $9 for depositing it over the counter)
I think cash is necessary in society but I’d love to get rid of cash. My 20 and 30-somethings can’t seem to count or work out change effectively, so the till count is always out. I have to go in and do adjustments so the banking equals the takings. I don’t even know if they are robbing me when they do this.
The bank has introduced a bag drop system that counts the cash by machine. However, their counting disagrees with mine so often. I have to do accounting Ito match up the discrepancies. It’s enough to make the brain crash. So I go across the counter.
I am asked constantly by customers if I accept cash. I think businesses generally are going away from cash due to the cost of managing it, banking it, staff inaccuracies, bank inaccuracies, staff theft, and so on.
So I’m not saying it’s okay, I am saying cash is the worst for a business to have as a payment option unless they take it and put it in their pocket. I never do this, but that’s the only advantage.
Hope that helps clarify the situation from a tiny business.
I think this has got to be illegal or a least unethical. Cash is still a viable option for paying so i don’t understand how they can refuse it.
