Can I still surcharge PayPal after the ban?

What the ban actually covers

The surcharge removal that starts on 1 October 2026 applies to three networks: eftpos, Mastercard and Visa. It reaches debit, prepaid and credit cards on those networks. PayPal is not on that list, so it is not swept into the surcharge removal in the way a Visa or Mastercard transaction is. That is the core reason a PayPal surcharge can, as general information, continue past the change.

The “cost of acceptance” limit still applies

Being outside the removal does not mean anything goes. A PayPal surcharge should not exceed your actual cost of accepting PayPal — surcharging above cost has long been treated as excessive. Treat any PayPal surcharge as a genuine cost-recovery figure, disclosed clearly to the customer before they pay, rather than a margin-builder.

Don’t disguise or over-reach

You cannot dress up a covered-card surcharge as a “PayPal fee” to dodge the rule. If a fee actually applies to eftpos, Mastercard or Visa payments, it is a card surcharge no matter what you call it. Keep PayPal surcharging separate, accurate and tied to PayPal’s real cost.

Watch the review timetable

This is current general information, not a permanent state. The RBA has signalled a broader review beginning mid-2026 covering areas it has not yet captured, so providers and merchants should expect the boundaries to be revisited. Check with your provider about how your PayPal acceptance is priced before relying on a surcharge.

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