Bank Charges for Paywave

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Forums › Finance and wealth management › Bank Charges for Paywave

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richms

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#2534847 4-Aug-2020 20:48

Kyanar:

Handsomedan:

A debit card used in dip or swipe via a terminal will be free for the retailer - it's processed as an EFTPOS transaction.

So long as you select CHQ or SAV. Selecting CRD will process via Scheme rails, and cost the same as a Debit transaction (and if they're on Interchange+ or Interchange++, will actually cost them more than tapping it would). NZ still doesn't have Least Cost Routing.

Always declines when I choose crd on my debit cards locally, only overseas does that work. I usually would accidentally get the wrong account when at places with paywave but it was disabled just to make them have to do more work.

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Handsomedan

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#2534903 5-Aug-2020 08:31

richms:

Kyanar:

So long as you select CHQ or SAV. Selecting CRD will process via Scheme rails, and cost the same as a Debit transaction (and if they're on Interchange+ or Interchange++, will actually cost them more than tapping it would). NZ still doesn't have Least Cost Routing.

Always declines when I choose crd on my debit cards locally, only overseas does that work. I usually would accidentally get the wrong account when at places with paywave but it was disabled just to make them have to do more work.

As it should if set up correctly - there is no credit card account from which to process the transaction in that scenario...it should default to EFTPOS when using a NZ-domiciled Scheme or proprietary debit card. Always the account that is set up as the debit account (which could be either Chq/Sav or if you have it set up to allow either one, then it's your choice)

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Kyanar

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#2535006 5-Aug-2020 11:12

richms:

Always declines when I choose crd on my debit cards locally, only overseas does that work. I usually would accidentally get the wrong account when at places with paywave but it was disabled just to make them have to do more work.

Some retailers use terminals configured to reject the scheme application when selected on a card that identifies as a debit card - this is done by BIN (first six characters of card number), so if an issuer uses a new BIN range, they sometimes work for a time before they can blacklist the new range.

Handsomedan:

As it should if set up correctly - there is no credit card account from which to process the transaction in that scenario...it should default to EFTPOS when using a NZ-domiciled Scheme or proprietary debit card. Always the account that is set up as the debit account (which could be either Chq/Sav or if you have it set up to allow either one, then it's your choice)

That's not correct. The button labels (CHQ, SAV, CHQ) are merely application selectors on an EMV card in an EMV terminal. If you select CRD on a debit card, that simply means to process the transaction using the MasterCard or Visa application on the chip, which sends the transaction down scheme rails. If it is a MasterCard or Visa debit card, that would then translate to the transactional account linked to the card (usually the one that is drawn from when CHQ is selected).

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