Amex isn’t part of the RBA’s surcharge ban. So why is it choosing to ditch fees?
Key takeaways
- The Reserve Bank is banning card payment surcharges as of 1 October 2026.
- The ban applies to eftpos, Visa and Mastercard card networks, not the American Express proprietary card network.
- However, Amex is voluntarily changing its merchant rules so businesses can no longer surcharge Amex cards from 1 October 2026.
Technically, Amex isn't removing the surcharge – because they're not the ones who charge it. Merchants do.
Business owners like (cafes, retailers, service providers and shops) are currently allowed add an extra charge on top of the price, to cover their costs of processing a credit card transaction. The RBA surcharge ban (which takes effect October 1) means the can no longer add this at the checkout as an extra fee; it must be absorbed into the advertised price.
What Amex is doing is changing its merchant acceptance rules, so businesses can no longer pass on an Amex surcharge to customers, either.
American Express isn't covered by the RBA's surcharge ban, so it doesn't need to take this step.
It's choosing to.
Why? Because it makes Amex a whole lot more appealing
If Amex didn't take this action, they'd be the only card in the market where fees can be charged.
In the past, American Express has been known as the card people love for the credit card rewards, but hesitate to use at the checkout due to surcharges.
This means many Australians have treated Amex as the 'special occasion' card, because they didn't want to pay an extra fee every time they tapped.
But removing surcharges keeps them competitive. Added to this, Amex has become even more widely adopted by merchants in recent years – I recently got an Amex, and the only place I've been knocked back was a bakery.
Which credit card is best?
With a relatively even playing field, the decision comes down to which card gives you the most value.
By proactively removing surcharges, Amex
Once surcharges disappear, you can compare cards on what makes the most meaningful difference to your wallet:
- Rewards
- Points earning rates
- Insurance benefits
- Cashback
- Annual fees
Credit card comparison made easy: check out some of the best offers now
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