An Aussie diner has sparked debate after revealing the “sad” reason its ATM was removed. The Brisbane business said there were major risks that came along with the shift towards cashless payments and it’s “only a matter of time” before customers bears the brunt of it.
Joe’s Diner Eagle Farm shared its ATM was removed this week and claimed the machine provider told them it wasn’t being “used enough to warrant having it”. Cash made up just 13 per cent of payments in Australia in 2022, which is expected to drop to just 4 per cent by 2030.
As card becomes the dominant form of payment for Aussies, RMIT associate professor of finance Dr Angel Zhong told Yahoo Finance businesses faced the “dilemma” of copping the associated EFTPOS charges or imposing a surcharge on customers.
“The EFTPOS fees that we pay to the banks [are] crazy and it’s only a matter of time before every business charges those fees to the customer.
“It’s getting harder and harder for every small business to survive. Sad times but it’s the reality facing everyone.”
The Reserve Bank of Australia (RBA) estimated EFTPOS payments cost less than 0.5 per cent of a transaction to accept, Visa and Mastercard debit cards cost between 0.5 and 1 per cent, while Visa and Mastercard credit cards cost between 1 and 1.5 per cent.
Joe’s Diner said businesses would soon have “no choice” but to pass on these costs to customers.
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