Sahar Mourad

Money & Banking

Is it legal to have a minimum spend for eftpos?

Is it legal to have a minimum spend for eftpos?

The last thing us Aussies want is to be slugged an extra cost when we’re out. 

So when we walk into a shop and see a minimum spend for eftpos transactions it stops us in our tracks. 

Is it legal to have a minimum spend in order to pay for our items?

The answer is yes, businesses are allowed to have minimum spend amounts for eftpos purchases.

The Australian Competition and Consumer Commission (ACCC) said businesses will need to comply with the surcharging rules as well. 

"Yes, businesses are allowed to set a minimum transaction value for the acceptance of EFTPOS cards (or other cards if they wish)," the watchdog said.

"They don't have to offer a card payment option, but they need to comply with the excessive surcharging rules regardless of the cost of the product."

This means, businesses are not allowed to charge a surcharge that is deemed “excessive”.

However, it should be noted that businesses don’t make a profit from the extra surcharge because it covers the cost of accepting the card. 

As long as the business has made it clear from the beginning before the transaction is made, then they are not doing anything wrong. 

Image: Facebook 

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