Good news from RBA

Buy now pay later companies have been given a boost after the Reserve Bank of Australia again ruled out allowing retailers to recoup any transaction costs directly from consumers.

The central bank’s payments system board on Friday released a consultation paper setting out proposed changes to the nation’s payments system policy, which included a commitment to the no surcharge rule for by now pay later players such as Afterpay and Zip Co.

The move will see the fast-growing payments industry increase market share at the expense of established credit card majors Visa and MasterCard which see their transaction costs passed on to consumers.

In the payments review the RBA said it had determined not “to require any ‘buy now, pay later’ providers to remove their no-surcharge rules at this time.”

https://amp.theaustralian.com.au/business/rba-unmoved-on-bnpl-fee-surcharges/news-story/4b17fa8c21984fd13836540f8f14ee41