Fed: Consortium to fight Eftpos reform

AAP General News (Australia)
12-20-2003
Fed: Consortium to fight Eftpos reform

A consortium of large retailers are reportedly trying to overturn a ruling by the Australian
Competition and Consumer Commission on Eftpos reform.

The Australian Financial Review says the businesses are angry after the national consumer
watchdog approved a proposal last week to fix the wholesale fees for Electronic Funds
Transfer at Point of Sale transactions at zero.

The change is aimed at removing $150 million in fees the banks charge each other every year.

However, most banks are yet to guarantee they will pass on the reductions in full to
consumers, and they've signalled they'll increase fees for merchants.

The paper says the group -- including the Australian Retailers Association, Australia
Post and Caltex -- have lodged an application with the Australian Competition Tribunal.

It quotes ARA chief executive STAN MOORE as saying the decision would cost merchants
-- and ultimately consumers -- up to $170 million a year in extra bank fees.

AAP RTV kjd/sco/wz/rt

KEYWORD: EFTPOS ARA (SYDNEY)

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