Melbourne, Australia, 2017-Oct-19 — /EPR Retail News/ — The Australian Retailers Association (ARA) are pleased to hear the ANZ Bank have agreed to route transactions on Dual Network Cards via the eftpos network, preserving consumer and merchant choice across all payment channels, and reducing transaction costs to retailers.
ARA Executive Director Russell Zimmerman said, currently Point of Sale (POS) terminals only read the first contactless application on the chip, and automatically route the transaction according to this priority, which may be at a higher cost for merchants.
“These contactless transactions on Dual Network Cards currently take this choice away from consumers and merchants, making it more difficult to manage the costs associated with different payment products and networks,” Mr Zimmerman said.
“The ability to route transactions via the eftpos network instead of the current Visa and Mastercard schemes will save merchants significant costs.”
The ARA have estimated the additional costs to the economy when Dual Network Card transactions are routed via the current system is in excess of $290 million.
“We would encourage other banks and financial institutions to allow merchants to route their transactions via the preferred network,” Mr Zimmerman said.
“Without open consumer payments and competitive domestic payment networks, merchant fees and consumer costs may rise.”
The ARA continue to meet with financial institutions and the Government to lower costs for both the merchant and consumer through advocating for the acceptance of any payment system at a low-cost.
“For consumers, it’s important to know what system your tap payment goes through, and for merchants it’s crucial to have a choice in routing,” Mr Zimmerman said.
About the Australian Retailers Association:
Founded in 1903, the Australian Retailers Association (ARA) is the retail industry’s peak representative body representing Australia’s $310 billion sector, which employs more than 1.2 million people. The ARA works to ensure retail success by informing, protecting, advocating, educating and saving money for its 7,500 independent and national retail members throughout Australia. For more information, visit www.retail.org.au or call 1300 368 041.
For interview opportunities with ARA Executive Director Russell Zimmerman call the ARA Media Line on 0439 612 556 or email media@retail.org.au
Source: Australian Retailers Association