Card surcharges before 1 October 2026
A card surcharge in Australia is the business passing on its own cost of accepting that card, and two rules limit it. The ACCC states that "the surcharge must not be more than what it costs the business to process that payment type" — so if a café's cost of accepting credit cards is 1%, it cannot charge you 2%.
The second rule is disclosure. The ACCC requires surcharges to be shown prominently before you book, order or pay, and if there is no payment method without a surcharge, the surcharge has to be built into the displayed price instead.
That prohibition on excessive surcharging currently applies to eftpos, Mastercard and Visa transactions. The ACCC says the ban does not apply to American Express, Diners Club, PayPal or BPAY — which is why an Amex surcharge in a Melbourne restaurant has often been noticeably higher than the Visa one.
What the 1 October change does
The Reserve Bank of Australia concluded its review of merchant card payment costs on 31 March 2026 and decided on removing surcharging on debit, prepaid and credit cards across the designated eftpos, Mastercard and Visa networks, effective 1 October 2026. The RBA's plain-language summary puts the consumer effect simply: when surcharging ends, "the sticker price will be the price that consumers end up paying".
The ACCC describes the same change from the business side, saying that from 1 October 2026 the Visa, Mastercard, American Express and eftpos networks are introducing no-surcharge rules for businesses.
Two things this does not mean. Businesses can still recover their payment costs by building them into prices — the ACCC notes a business may incorporate that cost into its overall pricing — so a coffee may simply cost a little more rather than costing the same plus a line item. And your own bank's foreign transaction fee is a separate charge from your issuer at home, untouched by any of this.
If you are in Melbourne in late September 2026, expect both worlds in the same week. Some venues will drop the surcharge early, others will keep charging right up to the date.
Weekend and holiday surcharges differ
A public holiday or Sunday surcharge on a restaurant bill is a different animal from a card surcharge, and it is not affected by the October change. It reflects labour costs: the Fair Work Ombudsman defines penalty rates as higher pay rates for working particular hours or days, including weekends, public holidays, overtime and late-night or early-morning shifts.
Hospitality venues get an exemption from folding those surcharges into every menu price, but they must tell you. The ACCC's guidance on price displays says the menu must carry a statement in the form "A surcharge of [percentage] applies on [day or days]", displayed at least as prominently as the most prominent price on the menu.
This table compares the two charges you may see added to a Melbourne bill.
| Charge | What it pays for | After 1 October 2026 |
|---|---|---|
| Card surcharge | The business's cost of accepting that card | Network no-surcharge rules apply |
| Weekend or public holiday surcharge | Higher penalty rates for staff | Unchanged; must be stated on the menu |
| Amex or Diners premium | Higher acceptance cost of that network | Amex covered by network rules from 1 Oct |
So on Melbourne Cup day or Anzac Day, a 10% or 15% line on the bill is most likely a staffing surcharge, not a card one. Look at the top or bottom of the menu before you order — that is where the required statement lives.
Where cash still matters
Cash in Melbourne is a small backup rather than a daily necessity, but a few situations still reward carrying some. Queen Victoria Market's own visitor FAQ says "most traders accept credit cards as well as cash" and recommends confirming with the specific stallholder, and it points to ATMs marked on the market map.
- Markets and stalls. Queen Victoria Market, weekend craft and produce markets, and pop-up food stalls are the most likely place to meet a card-shy trader or a card minimum.
- Very small cafés and bakeries. Some post a card minimum spend or a small-transaction surcharge; a few are cash-only by choice.
- Card-only venues. The reverse is now common in the CBD and inner north — bars and cafés that take no cash at all, so a cash-only traveller can be stuck.
- Tip jars and buskers. Coins and small notes are the only way to use these.
- Taxis. Cash avoids any non-cash payment charge, though most Melbourne taxis and all rideshare take cards.
On taxis specifically, Victoria's Essential Services Commission previously set a maximum non-cash payment surcharge, but the Commission now states it no longer regulates costs related to commercial passenger vehicles, following 2026 amendments to the Passenger Vehicle Industry Act 2017. Ask the driver before the trip if you want certainty, and check the meter and the terminal total against each other.
Tipping and the terminal prompt
Tipping is not expected in Australia, and the reason is structural rather than cultural. The Fair Work Ombudsman's guidance on minimum wages states that employees covered by an award or registered agreement are entitled to the minimum pay rates, penalty rates and allowances in that award, and the Ombudsman's summary of the hospitality award is blunt that employees must be paid at least award pay rates and entitlements. Hospitality staff are not living on your gratuity.
That leaves the tip prompt some card terminals now show. Skipping it is normal and carries no social cost: choose "no tip", or press the amount field and enter zero, then complete the payment. Nobody at the counter will react.
ATM fees and currency choice
An ATM in Australia tells you its fee before it takes your money. Under the direct charging framework the RBA describes for ATMs, cardholders are informed of the fee at the time they are making the transaction and can cancel if they think the fee is too high. Read that screen — the number shown is the ATM operator's charge only.
Your own bank at home may add its own overseas withdrawal fee and currency conversion margin on top, and that one will not appear on the Australian screen. It shows up on your statement later, so check your issuer's overseas fees before you travel rather than after.
The other decision is the one the terminal or ATM puts to you: pay in AUD, or in your home currency. Choosing your home currency is dynamic currency conversion, and the conversion is done by the Australian-side provider at its own rate. The ACCC's guidance on foreign currency conversion makes the general point in the mirror-image case, warning Australians overseas that choosing to pay in Australian dollars may be the more expensive option, and noting that card issuers may charge an international transaction fee either way.
GST and the Tourist Refund Scheme
GST is already inside the price you see in Australia. The ATO describes GST as a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia, and registered businesses include GST in the price they charge. There is no sales tax added at the register the way there is in some countries, and some categories are GST-free.
You can claim GST back on goods you take home. Under the Tourist Refund Scheme as described by the ATO, purchases must be from a single business with the same ABN and total AUD 300 or more including GST, must be bought within 60 days of departure, and you need the original tax invoices in English. You present invoices, goods, passport and boarding pass at the TRS facility at least 30 minutes before scheduled departure, or 60 minutes for a cruise. The scheme has its own conditions on what counts and what you must carry, so read the Australian Border Force page before you shop for anything expensive.
Before you tap in Melbourne
Take a photo of any surcharge sign or menu statement in the days around 1 October 2026, because it is the evidence that a charge was disclosed to you. If a surcharge appears on your bill that you were not told about, or looks larger than the business's plausible cost, raise it at the counter first.
Carry a small AUD float — enough for a market stall and a coffee — and treat the rest of your spending as card-first. Then check your card statement a few days after you get home: that is where a dynamic currency conversion you accepted by accident, or a surcharge applied after the network rules changed, will show up as a number that does not match your receipt.
This guide covers everyday consumer payments. It does not cover business expenses, buy-now-pay-later products, cryptocurrency, currency declaration limits at the border, or the detailed operation of the Tourist Refund Scheme, each of which has separate official rules.