Merchant Surcharging Rights Are Largely Prohibited
Of the 20 countries reviewed, merchants have surcharging rights in Australia, the U.S., and Canada.
Surcharging is allowed on PayPal and Sofort transactions. GERMANY
PSD2 default ban applies. FRANCE
Surcharging ban applies to all card-based payments and SEPA transfers with certain exceptions. UNITED KINGDOM
Surcharging can be allowed by banks, however cash discounts is allowed for all merchants. MEXICO Federal law allows states to determine their own surcharging laws. [See section on U.S. State Surcharging Rules] U.S. Canadian merchants have the right to surcharge on credit cards with exceptions to Quebec. CANADA Surcharging is banned under the Second Payment Services Directive (PSD2) with certain exceptions. EUROPEAN UNION
PSD2 default ban applies. NETHERLANDS Prohibited under the Legislative Decree of 2010. ITALY
Surcharging is prohibited on all transactions as per Real Decreto-ley 19/2018, article 35(3). SPAIN
Illegal under the Specialized Credit Finance Business Act. SOUTH KOREA
Network rules apply. JAPAN
Network rules apply. BRAZIL
From our primary resources, it is not common practice for merchants to surcharge in China. CHINA No government regulation against surcharging but networks have demonstrated leniency. SINGAPORE Merchants are allowed to surcharge up to the cost of acceptance. AUSTRALIA
Surcharges are automatically applied by Transbank to Visa and Mastercard debit cards. CHILE
Network rules apply. SAUDI ARABIA
Guaranteed by Law Some Methods Can be Surcharged, Others Cannot Network Rules Apply/Surcharging Prohibited
INDIA
Network rules apply. INDONESIA
Network rules apply.
Source: CMSPI Estimates and Analysis. This should not be treated as exhaustive of all surcharging restrictions and exceptions.
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