Australian PM Announces Ban on Debit Card Surcharges to Save Consumers Nearly $1 Billion
Australia has taken a bold step to ban debit card surcharges that are costing consumers almost 1 billion Australian dollars annually. The move, announced by Australia’s centre-left government, aims to eliminate these “unfair and excessive” charges by 2026 pending a review by the Reserve Bank of Australia (RBA).
Prime Minister Anthony Albanese highlighted the need to reduce the cost of living for households and emphasized that the ban would be a crucial measure to protect Australians. Treasurer Jim Chalmers echoed support for the ban, stating that it would result in a “better deal” for consumers and lower costs for small businesses.
This decision aligns Australia with other regions like the European Union, which banned debit card surcharges in 2018. The RBA’s data shows a significant shift towards cashless payments, with Australians losing millions to surcharges as digital transactions gain popularity.