Australia's Firmus prices shares to raise $5 billion, term sheet shows
Merchants may still raise prices as interchange fees fall to 0.3% on credit cards and 0.16% on debit and prepaid cards, the RBA said.
- On Thursday, October 1, the Reserve Bank's ban on card payment surcharges took effect, requiring merchants to display total prices without extra fees and disable surcharging terminals immediately.
- The new regime lowers processing costs for merchants by capping "interchange fees," aiming to save Australians $1.6 billion annually while businesses save about 910 million following an RBA review.
- Rusty Rabbit Cafe owner Peter Semaan in Darlinghurst raised prices about A$2 on average, stating, "They know it's coming, today was the day." Yet some chains remained unprepared despite warnings.
- Major banks are scaling back credit card rewards, sign-on bonuses, and lounge benefits to offset revenue lost from lower interchange fees, impacting loyalty programs across Commonwealth Bank, Westpac, and NAB.
- The ACCC and the RBA maintain payment costs should be reflected in overall pricing, while the ACCC continues monitoring to ensure businesses don't mislead customers about price increases.
8 Articles
8 Articles
Australia's Firmus prices shares to raise $5 billion, term sheet shows
Australian data centre operator Firmus has priced its shares at $A11.00 each as it aims to raise A$7.1 billion ($4.94 billion) from its initial public offering, a term sheet reviewed by Reuters showed on Thursday.
Australian businesses raise prices as card surcharge ban takes effect
By Scott Murdoch and Christine Chen SYDNEY, Oct 1 (Reuters) - Australian businesses said a ban on card surcharges that took effect on Thursday would force them to raise prices, casting doubt on government claims the change would lower living costs by e...
Sydney Morning Herald
Cash discounts and refunds: Your card surcharge ban cheat sheet
What’s changing, what businesses can and can’t display, how to get a discount or a refund, and more. Here’s everything you need to know about the new regime.
Australia’s card surcharge ban forces cafes, shops into price increases
Ross Surace is preparing to raise the price of a coffee by 50 Australian cents and a panini by A$1 (US$0.70) when the country bans credit card surcharge fees starting on Thursday. The co-owner of Lennox Street Deli in Melbourne’s Moonee Ponds neighbourhood said bank-imposed card fees already cost his business more than A$1,000 (US$690) a week, even after the cafe recoups some of the expense by adding a 1.9 per cent surcharge to customers’ card p…
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