PaymentsJournal
No Result
View All Result
SIGN UP
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
PaymentsJournal
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
No Result
View All Result
PaymentsJournal
No Result
View All Result

New Zealand’s Credit Card Surcharge Ban May Not Happen After All

By Tom Nawrocki
March 26, 2026
in Analysts Coverage, Merchant
0
0
SHARES
0
VIEWS
Share on LinkedIn
instant payments

Pay for goods by credit card through a smartphone in a coffee shop.

A proposed ban on credit card surcharges in New Zealand, set to take effect in May, appears to be on its last legs after a key political party withdrew its support.

New Zealand introduced legislation last year to ban in-store surcharges on both card and contactless payments. An industry group, Retail NZ, opposed the move, warning that businesses would likely have to raise prices elsewhere to recover payment costs.

Now, the ACT Party, which had been working with the government to refine the bill, says the proposed ban is effectively dead. The opposition Labour Party had never supported the measure. While the country’s Commerce and Consumer Affairs Minister maintains the bill is still under consideration, its political backing has largely collapsed.

“It was obviously appealing to take away a fee that a lot of customers hate, but if it only puts that fee on to the small business, it’s not actually a win,” ACT Party leader David Seymour told RNZ. “It’s just a shift, and often carried by people that can’t afford it at all.”

A Political Hot Potato

These extra fees have become common in the U.S., where only three states—Massachusetts, Maine, and Connecticut—explicitly ban credit card surcharging. But debate over the fees, like the charges themselves, is becoming more visible. Don Apgar, Director of Merchant Payments at Javelin Strategy & Research, describes the situation as a “political hot potato.”

“If you’re in favor of surcharging, then you get framed as anti-consumer because these large merchants already make millions,” Apgar said. “If you’re anti-surcharging, then you get framed as being against small business.”

Consumer Complaints Are Being Heard

Consumers are starting to take notice of the surcharges—and they’re not happy. The issue may be approaching a tipping point where public sentiment turns against such fees for good.

“People are starting to pay attention to their bills and speak out against paying an extra fee,” Apgar said. “You’ll see the tide go out at about the same speed as it came in, with merchants gradually opting not to add surcharges.”

“I took my truck in for service last week and the guy has a notice on his website that credit cards will be charged an additional 3% fee,” he said. “But when I paid, no fee was added. I asked the owner, and he said he stopped surcharging because customers were complaining and he hadn’t updated the website yet.”

0
SHARES
0
VIEWS
Share on LinkedIn
Tags: ContactlessCredit Card SurchargingMerchantNew ZealandSurcharge

    Get the Latest News and Insights Delivered Daily

    Subscribe to the PaymentsJournal Newsletter for exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    payment authentication

    Developing Digital Trust Hinges on Unifying Authentication Methods

    September 30, 2026
    cross-border payments

    Banks Built Cross-Border Payments—Fintechs Are Rewriting Them

    September 29, 2026
    Real-Time Cross-Border Dollar and Euro Payments Take Shape,cross-border payment processing, cross-border banking and payments

    Small Businesses Weigh Their Options in Cross-Border Payments

    September 28, 2026
    risk management

    Embedding Risk at Every Stage of the Payment

    September 25, 2026
    physical payment cards, mobile banking technology

    Physical Cards Reimagined—More Than a Payment Tool

    September 24, 2026
    agentic commerce

    Delegation with Limits: What Merchants Want from Agentic Commerce

    September 23, 2026
    AI in payment collections

    From Data to Action: How Automated Intelligence Is Changing Collections

    September 22, 2026
    circle stablecoin, checkless checking accounts

    As Prepaid Fraud Evolves, So Do the Rules

    September 21, 2026

    Linkedin-in X-twitter
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter

    ©2026 PaymentsJournal.com |  Terms of Use | Privacy Policy

    • Commercial Payments
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    No Result
    View All Result