This information is for Merchant customers who have received an email or a letter from us about changes to their Merchant Service Fees (MSF).
What are interchange fees?
Interchange fees are paid by the merchant’s acquirer (that is, the bank or other payment service provider that enables the merchant to accept credit and debit card payments) to the customer’s card issuer for each transaction on the Mastercard and Visa networks (card schemes). They can be variable or fixed fees set by card schemes and depend on several factors, such as the card type used, business industry and processing environment e.g., instore, online, or subscription. The Commerce Commission set a cap on Visa and Mastercard domestic interchange rates in November 2022 under an initial pricing standard under the Retail Payment System Act 2022. The Commerce Commission introduced a new pricing standard to further limit the interchange rates for domestic cards (effective 1 December 2025) and for international-issued cards (effective 1 May 2026).
What are scheme processing costs?
A scheme fee is paid to the card scheme that provides the payment network, enabling a card to be used around the world.
Scheme fees vary based on the:
- card scheme
- card type
- country the card was issued in
- transaction value.
How do I know which cards I currently accept and what the new interchange rates are for these?
The domestic and international cards you currently accept are detailed on your merchant statement. After the effective date you can find the new rates on our Interchange reimbursement fees page.
Does this change my customer surcharge rate?
If you elect to surcharge, remember you can only charge reasonable fees to cover your cost of accepting card payments. The fee must be disclosed to the cardholder before the transaction is completed, and the cardholder must be given an opportunity to cancel the transaction. You need to review your customer surcharge settings on a regular basis.
More about merchant service fees
When should I review my customer surcharge rate?
Following the change in your merchant service fee (MSF) which took effect on 1 December 2025, you now need to review your customer surcharge rate. This is to ensure it’s a reasonable fee to cover only your new costs of accepting card payments. You can use your merchant statements received from January 2026 onwards to do this review.
Also with the upcoming 1 May 2026 changes, you will need to revalidate your customer surcharge again using merchant statements you receive from June 2026 onwards.
You need to continue to review your surcharge settings on a regular basis.
How do I review my customer surcharge rate?
The average rate of your merchant service fees can be considered a reasonable surcharge. To calculate this, use your latest merchant statement, find your ‘Service charges’ total and divide it by your ‘Net value of transactions’ total, then multiply by 100. For example, if your service fee charges are $120 and your net transactions are $9,500, then your average rate is 1.26% (120 ÷ 9500 x 100 = 1.26%).
If your transactions vary significantly month to month (for example, a seasonal tourism business with a peak and low season), use data from several months’ statements to calculate your average rate.
For help finding information on your merchant statement, see page 4 of the Merchant Service Guide.
Are there alternative lower-cost options for accepting payments?
Payap is a new, low-cost digital payment solution that we’ve created with Centrapay to make payments smarter and simpler. You can’t charge a customer surcharge fee for Payap transactions.
Is the cost of accepting Eftpos (when CHQ or SAV is selected on your Eftpos terminal) increasing?
No, BNZ will continue to pay the processing charges from Eftpos debit card acceptance and will provide that service to you at no cost. If comparing BNZ to others, make sure you’re aware of what your Merchant Service Fee includes.
Does BNZ charge GST on Merchant Service Fees?
No, BNZ doesn’t charge GST on Merchant Service Fees. If comparing fees, make sure you include any additional GST costs in your assessment.