Cutting card fees is an easy win for a small business
By Dougal Anderson, Co-founder, Compayr · · 3 min
Cutting card fees is one of the few cost savings that changes nothing for customers, staff or stock. On $30,000 a month in card sales, moving from a 1.6% rate to the lowest published rate Compayr tracks saves about $2,620 a year. Rates checked 3 November 2026.
Since 1 October 2026 a business can no longer surcharge eftpos, Mastercard or Visa payments. The card fee now comes out of margin. As at 3 November 2026, 13 of the 20 card rates Compayr tracks have not been cut since the RBA lowered interchange. See the Pass Through Tracker.
Why is cutting card fees an easy win?
- No price rise for customers
- No cut to staff hours or service
- No change to stock or suppliers
- A one-off job of a few hours
- A saving that repeats every month
Other cost savings take longer. A rent review waits for the lease. A supplier change needs a new supplier. A price rise can cost customers. A lower card rate starts saving on the day it applies.
How much can a small business save?
Yearly saving from moving to the lowest published in-person rate, 0.79% plus $24.75 a month.
| Monthly card sales | Moving from 1.6% | Moving from 1.4% |
|---|---|---|
| $20,000 | $1,647 | $1,167 |
| $30,000 | $2,619 | $1,899 |
| $50,000 | $4,563 | $3,363 |
Published in-person rates including GST, checked 3 November 2026. Square is 1.6%. Zeller and SumUp are 1.4%. Westpac is 0.79% plus $24.75 a month. ANZ Worldline is 0.95%, CommBank Smart 0.99% and NAB 1.05%. Terminal costs vary by provider.
What is the saving worth in sales?
At a 10% profit margin, a business needs $10 of extra sales to make $1 of profit. A saving of $2,619 a year in card fees adds as much profit as $26,190 a year in extra sales. That is about $2,180 a month in extra sales with no extra work. Use your own margin to work out your figure.
How long does it take?
- Find the effective rate on the last statement: 10 minutes. Divide card fees by card sales
- Compare it at your turnover on Compayr: 2 minutes
- Choose the lowest cost option and apply through its link: under an hour online
- Wait for the new terminal by post. Allow two to four weeks from application to first payment. Run both terminals until the new one works
How to read your merchant statement shows where to find both numbers.
How do I find my lowest cost option?
Enter your monthly card sales and current rate on Compayr. Compayr ranks 15 providers with published rates, from the 17 Compayr compares, by estimated cost at your turnover. Each rate shows the date it was checked and links to its source. Choose the lowest cost option and switch through its link.
Before you switch, check your current agreement for notice periods, exit fees and terminal return terms. Switching payment providers is easier than you think covers each step.
Compayr is a free merchant payment comparison site. Compayr does not sell payment processing. Compayr may earn a referral fee when a merchant switches through its links. Referral fees never affect the ranking.
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