Australia — Payments Detail

Part of the payments-domain skill. Specific caps, thresholds, and dates here are point-in-time — verify against the primary source (RBA, Treasury, ACCC, ASIC, APRA, AUSTRAC, AusPayNet, AP+) before stating as current.

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Bodies and who does what

• RBA — Reserve Bank of Australia, via the Payments System Board (PSB), sets card payment standards: interchange caps, surcharging rules, least-cost-routing expectations. Acts under the Payment Systems (Regulation) Act.
• Treasury owns the policy framework — the Strategic Plan for Australia's Payments System and the payments licensing reform.
• ACCC — competition and consumer law; authorises industry arrangements (e.g. the BECS/A2A roundtable) and reviews mergers.
• ASIC — conduct, the ePayments Code (voluntary consumer protection code for electronic payments), and AFSL administration.
• APRA — prudential regulation of ADIs and, under the coming reform, large stored-value facilities.
• AUSTRAC — AML/CTF regulator and financial intelligence unit.
• AusPayNet — self-regulatory body that owns scheme rules for several systems including BECS.
• AP+ (Australian Payments Plus) — operator formed from the merger of eftpos, BPAY, and NPP Australia; runs the eftpos network, BPAY, and the New Payments Platform.

Rails

Cards. Visa and Mastercard (international schemes) plus eftpos (domestic debit, run by AP+). Most debit cards are dual-network (a scheme debit plus eftpos), which is what makes debit routing possible.

NPP — New Payments Platform. Real-time, 24/7, data-rich account-to-account payments addressed by account or PayID. Built for line-by-line real-time processing rather than batch. Overlay services:

• PayTo — real-time, pre-authorised account-to-account direct debits / mandates; positioned as a modern replacement for BECS direct debit. Uptake has been slower and more uneven than the PSB anticipated.
• Confirmation of Payee — launched industry-wide July 2025; checks payee name against account before payment to reduce mistaken and scam payments; broad coverage targeted across personal accounts.
• International Payments Service — inbound cross-border into NPP.

BECS — Bulk Electronic Clearing System. The legacy batch rail for direct entry (direct debits and credits, payroll, etc.), governed by AusPayNet. Migration of A2A volume to NPP is underway, but AusPayNet withdrew the previously announced 30 June 2030 decommissioning target in December 2025 pending a clearer industry roadmap; the A2A Payments Roundtable (AusPayNet, AP+, RBA, Treasury) is shaping that roadmap. Payday Super (employers paying super with wages, from 1 July 2026) is a demand driver pushing volume toward NPP.

BPAY. Bill-payment scheme, also under AP+.

Interchange and surcharging — the 2026 reform

The RBA published its Conclusions Paper on the Review of Merchant Card Payment Costs and Surcharging in late March 2026 (following a July 2025 consultation). Final decisions, with most changes effective 1 October 2026:

• Surcharging removed on the designated eftpos, Mastercard, and Visa networks across debit, prepaid, and credit — the RBA lifts its no-surcharge-rule prohibition, after which schemes are expected to re-impose no-surcharge rules.
• Domestic consumer-credit interchange cap cut to 0.30% of transaction value, with the weighted-average benchmark abolished.
• Domestic commercial-credit interchange held at 0.80%, weighted-average benchmark abolished.
• Foreign-issued card interchange caps introduced from 1 April 2027, plus merchant-statement transparency and a scheme-fee roadmap expectation.
• Least-cost routing: no change to the existing "expectations" approach.
• Out of scope (separate mid-2026 consultation): American Express, BNPL, and mobile-wallet arrangements.
• Estimated merchant saving on the order of ~$910 million per year; commentators expect issuers to rebalance rewards, annual fees, or interest-free periods as interchange revenue falls.

Always confirm the live figures and effective dates against rba.gov.au before quoting.

Payments licensing reform (in progress)

Treasury's Payments System Modernisation replaces the old product-based "non-cash payment facility" framework with an activity-based regime: providers performing a defined "payment function" will need an Australian Financial Services Licence (AFSL) with payment-specific modifications. New product categories include payment instruments, payment services, and tokenised stored-value facilities (capturing digital wallets and currency-backed stablecoins). Prudential obligations apply to SVFs holding over AUD 200 million and to designated payment-facilitation providers. Tranche 1 draft legislation was released for consultation in March 2026 (not yet law); 2026 work also covers common access requirements and an industry standard-setting body. Track status on treasury.gov.au.

Open banking — Consumer Data Right (CDR)

Economy-wide data-sharing right; banking was the first sector (live from 2020). Lets accredited recipients access customer banking data with consent. Real-world uptake has been low relative to the UK, a recurring lesson for any product relying on it. Action initiation (including payment initiation) was legislated as an extension. Administered by the ACCC with Treasury policy.

AML/CTF

AUSTRAC regulates under the AML/CTF Act; reporting entities must do customer due diligence (KYC/KYB), transaction monitoring, and reporting. "Tranche 2" reforms extend obligations to additional professions and tighten the regime, phasing in from 2026 — confirm the current commencement and scope before relying on specifics.