RBA Confirmed: Card surcharges will be banned from 1 October 2026 — check you're on the right rate →

Can I call it an admin fee or service fee instead?

Short answer

No. If a fee only applies when customers pay by card, it is a card surcharge regardless of whether you call it an “admin”, “service” or “handling” fee. The ACCC treats disguised surcharges as drip pricing and potentially misleading conduct, so renaming is not a workaround.

Last updated: 30 June 2026

The label doesn’t change the substance

The test is not what a fee is called — it is what triggers it. If a charge applies only when a customer pays by card, it functions as a card surcharge, whether it is named an “admin fee”, “service fee” or “handling fee”. Renaming it does not move it outside the rule that removes surcharges on eftpos, Mastercard and Visa.

Why disguising it is risky

This is more than a technicality. The ACCC treats disguised surcharges as drip pricing — fees revealed late in the process — and as potentially misleading conduct. So relabelling a card surcharge does not just fail to dodge the surcharge rule; it can create a separate consumer-law exposure. There is genuine downside to trying it.

What you can do instead

If your goal is to recover card costs, the honest routes are different: build the cost into your normal prices for everyone, or offer a genuine discount for paying by cash or bank transfer. And the cleanest long-term move is to lower the underlying cost — by securing a competitive rate from your provider.

Source: RBA Review of Merchant Card Payment Costs and Surcharging — Conclusions Paper (March 2026).

This page is general information only and is not legal or financial advice. The RBA sets the final rules and timing — confirm current details at rba.gov.au.
Common questions
Related questions
Can I rename my card surcharge as a service fee?
No. If the fee only applies to card payments, it is a card surcharge regardless of the name, and renaming does not escape the rule.
Is an admin fee on card payments allowed?
Not if it only applies to card payments — that makes it a surcharge. The ACCC treats disguised surcharges as drip pricing and misleading conduct.
What is drip pricing?
It is revealing fees late in the purchase process rather than upfront. The ACCC treats disguised card surcharges this way, which carries consumer-law risk.
How can I recover card costs legitimately?
Build the cost into your normal prices for all customers, or offer a genuine cash or bank-transfer discount. Lowering your underlying rate is the cleanest path.
Does this apply to handling fees too?
Yes. Any fee that only applies to card payments is a surcharge whatever it is called — handling, admin or service.
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