Posted: 26 October, 2016 by Newsroom

MasterCard Wants Australia To Ditch The $10 Card Minimum

Use your card for tiny purchases!

There’s nothing that annoys a shopper more than trying to use their card to purchase something and discovering there’s a minimum transaction amount. 

And now shoppers have a surprising ally in the fight against EFTPOS and credit card minimums. MasterCard.

The credit card company believes that minimum transactions should be abandoned, and they launched the Zero Minimum campaign earlier this year to fight against the practice.

According to MasterCard:

  • 84% of customers resent restrictions on smaller transactions
  • 62% find it frustrating when they can’t use cards for small transaction
  • 44% completely avoid shops with a minimum transaction

“The big picture on this is that Australians have absolutely embraced contactless payments,” MasterCard head of market development and innovation Garry Duursma told

“In excess of 70 per cent of all face-to-face transactions are being done contactless, and increasingly people are starting to use their cards for extremely low-value everyday purchases like a cup of coffee or a magazine, things we used to carry change for.”

MasterCard says that 53% of Australian businesses have no minimum for card payments, and of the 47% with a minimum nearly a third don’t have a sign explaining the situation to customers.

“It’s quite embarrassing when a consumer comes to the counter and the merchant says, ‘Oh, I’m sorry, there’s a minimum payment’,” Mr Duursma said. “It’s inconvenient when they’re asked to spend more. It just becomes a bad experience.”

“The majority of merchants didn’t have a minimum, but almost none of them had a sign up to say they didn’t,” he said. “Now that more and more retailers are prepared to put up a sign saying they have no minimum, that starts a process of slowly educating the rest of the market.”

MasterCard says that retailers who have ditched their minimum transaction amounts have seen a spike in business. 

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