The tap and go payment method came under fire yesterday morning on Melbourne radio with plenty of people complaining about cards being stolen and them being used quickly to rack up many quick purchases. The thrust of the complaints by consumers was that these tap and go cards made theft easier.
One retailer who called in complained about the cost to retailers of cards. The example they gave was excellent, showing the high cost of the platinum cards on business.
Never have liked the idea of them. New technology is not always an improvement nor necessary, this is one such case where I feel it is a backwards step in security.
dont see it as any different to the no pin or signature required for transactions under $35 with visa or MasterCard
We have just changed our Tyro terminals to tap & go and have had great customer feedback. Those that are watching their balance very closely do not use tap & go as they do not like the security feature of the pending payment for 3 days on their account. Some customers have said this is good as if the card is lost they have time to take action with the bank. Change is coming with the CBA announcement last week about smart phone apps that replace cards. Our costs are what we need to manage as Credit card charges are what hurts especially if we have international customers.
the whole fee thing is an ongoing dilemma for me, do I introduce a surcharge or not?
has been debated on here a few times and I still cannot decide. the fees are becoming substantial as more people use cards. Most companies that allow credit card payment of accounts etc charge a surcharge and don’t seem to suffer any backlash, maybe we need a public education program to let people know that the fee we are charging is a bank generated fee and not a fee from us. Has anyone started to charge a surcharge and now regret doing it?
My thoughts are,
I am in a Medium size shopping centre with Woolworths and Big W.
My fees are becoming substantial also but I would not like to be the only retailer charging a fee for the customer to make a purchase in my business.
I just don’t think that would go over well with peoples perception I know I have not gone down this path for that reason.
We charge 20 cents for eftpos for about 4 years now, sure I’ve lost 1-2 sales but I recoup 80% of my tyro fee’s so it’s a no brainer.
The Tatts kiosk in our center charges 50 cents and are still open. The backlash will be minimal if the fee is reasonable and those who don’t like the surcharge will learn to pay by cash.
Theft may be easier but there are a number of other factors that must be evaluated in that context of that statement.
The theft is likely to be significantly smaller because of the $100 transaction limit that does not apply to signature transactions.
Financial institutions guarantee against theft for contactless cards.
No card needs any form of security authorisation if used online – this alone makes the argument against instore payment without authorisation moot.
The cards are seen by many as a transitional technology to integration with mobile phones (the first Australian solution comming soon from the CommBank). This technology is by far the most secure.
If a business does not want to accept platinum cards then they should be able to turn this feature off.
The adoption rate of these cards has been strong. Retailers that do not have the facilities to accept them put themselves at risk of giving customers a reason to go elsewhere.
We charge 15c surcharge for eftpos transactions under $9.95, very occasionally someone will add an extra item to bring it up to our limit and we can override this surcharge if we choose to (which we often do).
So many younger customers use card for every purchase, even a packet of chewy.
For customers putting lotto on credit card we charge 1%, 99% of customers are fine with this, the others change to debit card.
No regrets.
No charge here.
I love Tap and Go it is so quick at busy times
Signatures for transactions will cease anyhow in the next 6 months so may as well get used to Tap and Go. We have it only on our Post counters but will look at it again shortly for the news counter if sales volume demands it.
It seems to be an “opt out” service, usually linked to the credit account on the card. We have had customers ready to swipe the card for their savings account put the card too close to the reader and have their funds taken from their credit account. Most are unaware they have the tap and go fetaure on their cards.
And putting my tinfoil hat on, how long until we see reports of portable EFTPOS readers being used to read and debit cards in peoples bags/wallets in crowded areas? Tracy Grimshaw, protect us!!!
We charge 50c for all eftpos transactions. Not many customers complain, and if they do we explain they can use cash. Why should we have to pay the fee for people who are to lazy to carry cash. We are on main street with 4 different atms in walking distance, people are just so lazy.
A timely reminder to stores that you can only charge customers a fee up to the value of what it costs you. If you are making a profit from it then you are in breach of your contract.
Tap and Go in the news tonight – I see consumer risk here….
Here’s a link to the story reporting the police calling for a ban: http://www.heraldsun.com.au/news/law-order/police-want-ban-on-tap-and-go-technology-saying-sloppy-practices-can-promote-crime/story-fni0fee2-1226769029022
Credit card lost, don’t check your statement, don’t advise the card issuer promptly, then blame the retailer – where are we going?
What a beat up.