Visa and Mastercard have made recent changes to their Interchange Rates which came into effect 1 March 2019 in Australia.
Additionally Mastercard are making changes to their Interchange Rate structures which will come into effect 1 April 2019 in Australia.
WHAT DOES THIS MEAN FOR me?
Interchange Rate structure changes impact only Interchange Plus pricing merchants and your cost of accepting payments via these card types may change.
Changes to the Visa Interchange Rates will come into effect on 1 March 2019 will have the following impact to merchants:
- Credit Infinite is being adjusted down from 0.880% (incl. GST) to 0.869% (incl. GST)
- Credit Rewards is being adjusted down from 0.858% (inc. GST) to 0.770% (inc. GST)
- Credit Insurance is being adjusted down from 0.275% (inc. GST) to 0.231% (inc. GST)
Changes to the Mastercard Interchange Rates will come into effect on 1 March 2019 will have the following impact on merchants:
- Consumer Premium – High Spend is being adjusted down from 0.814% (incl. GST) to 0.781% (incl. GST)
Changes to MasterCard’s Interchange categories and Rates will come into effect 1 April 2019 will have the following impacts to merchants:
- Credit and Debit will have Tokenised categories added with a defined rate.
- Debit and Prepaid will have the industry category groups removed
- Debit and Prepaid card categories will now separate Card Present and Card not Present transaction rates
WHAT DO I NEED TO DO?
You won’t need to make any changes. The interchange fee will automatically be applied to Visa and Mastercard transactions after 1 March, 2019.
How will this affect my Cost of Acceptance?
Depending on the card mix acceptance merchants could see an impact to their Cost of Acceptance.
The new interchange rates will be applied to your merchant statements and will show your cost of acceptance based on the new rates.
HOW CAN I FIND OUT MORE ABOUT INTERCHANGE FEES?
Interchange Fees information is published by the schemes online and information is to be updated 1 March 2019
These rates can be found on the links below:
Want to know more?
Visit our interchange categories definitions page for more information.