Latest News
• Add My News • Search Old News
Eft: Competitive Boost For Small BusinessBig business will lose 80 million in EFT benefits under ABA reform. By Abby Dinham - 18th February 2003 - Back to News
Small businesses are set to receive a competitive boost with reforms from the Australian Bankers Association (ABA) levelling the EFT playing field.
Under the new reforms large corporations including Coles-Myers, Woolworth’s and David Jones are expected to lose 80 million dollars in EFT interchange fee reimbursements.
The fee will increase by around twenty cents per transaction for the companies, bringing the larger corporations onto a similar par with the smaller businesses.
The Retailers Association have expressed concerns that the EFTPOS reforms may mean higher prices for consumers, but the Australian Consumers Association say this wouldn’t be a good move for the big businesses.
"They could pass the fee onto customers, but that would put them in further competition with the smaller business", said ACA’s Catherine Wolthuzen.
The Australian Bankers Association (ABA) say the new reforms will benefit merchants three to one on their possible EFT loses and any price increase would be from retailer exploitation.
"All retailers will be making lots of cost savings on these reforms. Whether they pocket those savings or pass them off to the customer is up to them", said Heather Wellard of the ABA.
The reforms include several credit card amendments lowering transaction charges for all businesses by around 40 per cent and increasing the accessibility of more cards; an amendment that would directly benefit the independent merchants.
"Smaller retailers are disadvantaged by the system at the moment… especially with credit cards because they charge in percentages and the small retailers have limited negotiation powers with the banks", said Ms Wolthuzen.
The proposal for reform began in 2000 when the ACCC along with the Reserve Bank of Australia (RBA) published a study saying they had ‘not found a convincing case for the interchange fee’, that was resulting in the large corporations receiving the EFT reimbursements.
The ACCC expect the ABA reform proposal to be in by the end of the week.
How will these changes affect your business? We would love to hear your viewpoint.
Source: http://gippsland.com/ Published by: news@gippsland.com
Related Articles- Latrobe Valley's new 100MW big battery boosts energy reliability, cuts power bills, and supports Victoria's renewable transition
A 100MW Latrobe Valley big battery has officially opened, boosting energy reliability, cutting power bills, and supporting Victoria's renewable transition, helping achieve government storage targets while delivering affordable electricity. - Regional all abilities participation grants is now open to boost inclusive sports opportunities for people with disability in regional communities
The Allan Labor government's Regional All Abilities Participation Grants offer up to $25,000 for clubs to boost disability inclusion through equipment, training, travel support, and all-abilities sports programs. - Drouin Picnic Racing Club receives $13,519 upgrade boost through Allan Labor government's Regional Customer Facilities Program
Drouin Picnic Racing Club will receive $13,519 to upgrade facilities and enhance race day experiences, part of the Allan Labor government's $730,000 investment improving regional racing venues statewide. - Darren Chester urges Gippslanders to support local artisans, makers, and small businesses this holiday season
Federal Member Darren Chester encourages Gippslanders to shop local this Christmas, supporting artisans, makers, and small businesses like Emporium 3844, boosting the regional economy and celebrating community talent. - East Gippsland Shire backs $15M Bairnsdale Airport upgrade to boost emergency response and healthcare services regionally
East Gippsland Shire Council has backed a $15 million Bairnsdale Airport upgrade, extending the runway to boost emergency response, healthcare services, and regional aviation, supported by government funding and health agencies. - Farm fencing grants protect 300 hectares of biodiversity and boost waterway health across West Gippsland
Over 300 hectares of farmland will be fenced through West Gippsland CMA's farm fencing grants, protecting waterways, biodiversity, and livestock while supporting sustainable farming and revegetation across the catchment. - Drouin’s Commercial Place Stage 1 of the $1.1M project set to begin this to boost safety, accessibility and vibrancy
Stage 1 of the $1.1 million Drouin Commercial Place upgrade begins this week, improving safety, accessibility, footpaths, carparks, and pedestrian areas, with minimal disruption and partial parking available. - Martin Cameron says new emergency services tax replaces fire levy, adding enormous pressure to struggling small businesses
Latrobe Valley small businesses face soaring costs as Labor's new Emergency Services Tax replaces the Fire Services Levy, with Nationals warning it punishes regional communities and fuels insolvencies amid financial mismanagement. - Darren Chester delivers volunteer grant to support Traralgon RSL Bowls Group and boost junior participation
Darren Chester awarded a $1700 Volunteer Grant to Traralgon RSL Bowls Group, funding equipment to boost junior participation, support volunteers, and strengthen youth development as part of Gippsland's wider $63,000 program. - Martin Cameron says Labor fails on crime, wasting millions on machete bins instead of protecting Gippsland
Crime in Latrobe has surged under Labor, with Moe incidents up 26% and retail theft 65%. Nationals' Martin Cameron says only their Safer Communities Plan will restore safety. - Danny O'Brien celebrates Gippsland South schools receiving VicHealth Kitchen Garden grants to boost cooking and gardening education
Danny O'Brien has congratulated five Gippsland South primary schools awarded VicHealth Kitchen Garden grants, supporting hands-on cooking, gardening, and healthy eating education to build students' lifelong skills, and sustainability awareness. - Melina Bath condemns Labor for blocking protest bill and failing to protect police, businesses, and public safety
Labor, backed by the Greens and minor parties, blocked Nationals and Liberals legislation to ban protest face coverings, which Melina Bath said betrayed police, small businesses, and public safety across Victoria. - Darren Chester congratulates Hillywood Tree Nursery on expanding Gippsland-grown business with new online store
Hillywood Tree Nursery in Briagolong has launched an online store, expanding access to Gippsland-grown plants. Darren Chester praised owner Ed Mosley for fostering innovation, sustainability, and local job growth in horticulture.
|
|
