The following tables set forth the Visa maximum interchange reimbursement fees applicable to New Zealand domestic transactions processed through Visa’s National Net Settlement Service. The rates are effective 15 August 2020 and are paid by the acquirer to the issuer on purchase transactions.
Effective 15 August 2020, Visa will reduce the domestic maximum interchange rates for the Debit Electronic (Card-Present) and Credit Contactless Fee Programs. This reduction will take place as part of a continuous effort to ensure the cost of Visa acceptance for merchants reflects the changing commerce landscape, while allowing for innovation, continued growth and sustainability of the payments ecosystem in New Zealand. The rates will be reduced according to the tables below.
Interchange
All Debit products
|
Electronic
|
0.30%
|
0.20%
|
Credit - Classic / Gold
|
Contactless
|
0.85%
|
0.65%
|
Credit - Platinum
|
Contactless
|
1.45%
|
1.25%
|
Credit - Signature
|
Contactless
|
1.57%
|
1.37%
|
Visa uses interchange reimbursement fees as transfer fees between issuers and acquirers to balance and grow the payment system for the benefit of all participants. Merchants do not pay interchange reimbursement fees; merchants pay a "merchant service fee" to their acquirer. This is an important distinction, because merchants buy a variety of processing services from financial institutions; all of these services may be included in their merchant discount rate.
Please note that there are specific technical and other criteria that each transaction must meet in order to qualify for the different rate categories. Transactions which do not meet the processing criteria for a specific program will not be subject to that maximum rate, but instead will be subject to the Standard interchange maximum rate.
Industry Program – Charities
|
0.39% |
0.39% |
0.39% |
0.39% |
Strategic Merchants – Card Present (CP) and Card Not Present (CNP) – Rate 1 |
0.50% |
0.50% |
0.50% |
0.50% |
Strategic Merchants – CP and CNP – Rate 2
|
0.55% |
0.55% |
0.55% |
0.55% |
Strategic Merchants – CP and CNP – Rate 3
|
0.60% |
0.60% |
0.60% |
0.60% |
Strategic Merchants – CP and CNP – Rate 4 |
0.70% |
0.70% |
0.70% |
0.70% |
Strategic Merchants – CP and CNP – Rate 5
|
0.80% |
0.80% |
0.80% |
0.80% |
Strategic Merchants – CP and CNP – Rate 6 |
0.98% |
0.98% |
0.98% |
0.98% |
Industry Program – Government, Utilities & Telecom
|
NZ$0.70 |
NZ$0.70 |
NZ$0.70 |
NZ$0.70 |
Industry Program – Insurance
|
NZ$1.00 |
NZ$1.00 |
NZ$1.00 |
NZ$1.00 |
Industry Program – Recurring Payments
|
0.70% |
0.70% |
0.70% |
0.70% |
Contactless* |
0.65%1 |
1.25%1 |
1.37%1 |
N/A |
Electronic |
0.85% |
1.85% |
1.97% |
2.00% |
Standard
|
1.25% |
1.85% |
1.97% |
2.00% |
*Contactless fee program applies to any transaction amount
1Credit Contactless rate reduction to be effective 15 August 2020
Industry Program – Charities
|
0.39% |
0.39%
|
Strategic Merchants – Card Present – Rate 1 ** |
NZ$0.02 |
NZ$0.02 |
Strategic Merchants – Card Present – Rate 2 ** |
NZ$0.03 |
NZ$0.03 |
Strategic Merchants – Card Present – Rate 3
|
NZ$0.04
|
NZ$0.04
|
Strategic Merchants – Card Present – Rate 4
|
NZ$0.05
|
NZ$0.05
|
Strategic Merchants – Card Not Present – Rate 1
|
0.50% |
0.50% |
Strategic Merchants – Card Not Present – Rate 2
|
0.55% |
0.55% |
Strategic Merchants – Card Not Present – Rate 3
|
0.60% |
0.60% |
Strategic Merchants – Card Not Present – Rate 4
|
0.70% |
0.70% |
Strategic Merchants – Card Not Present – Rate 5
|
0.80% |
0.80% |
Strategic Merchants – Card Not Present – Rate 6
|
0.98% |
0.98% |
Industry Program – Government, Utilities & Telecom
|
NZ$0.70 |
NZ$0.70 |
Industry Program – Insurance
|
NZ$1.00 |
NZ$1.00 |
Industry Program – Recurring Payments
|
0.70% |
0.70% |
Electronic – Card Present
|
0.20%1 |
0.20%1 |
Standard – Card Not Present
|
1.10% |
2.00% |
* Excludes EFTPOS transactions (defined as face-to-face card present transactions utilizing account selection and PIN) switched domestically to issuer.
** The above SMRs are intended for merchants designated by Visa to be strategic, in which they meet certain criteria, including innovation and/or acceptance requirements (Strategic Program Criteria). Specifically, SMR—Card-Present Rate 1 is reserved for merchants that meet the Strategic Program Criteria and have approximately 85% of volume under NZD 15. Meanwhile, SMR—Card-Present Rate 2 is reserved for merchants that meet the Strategic Program Criteria and have significant volume processed through VisaNet.
1Debit Electronic rate reduction to be effective 15 August 2020.
Industry Program – Charities |
0.39% |
0.39% |
Strategic Merchants – Card Present
|
0.39% |
0.39% |
Strategic Merchants – Card Not Present – Rate 1 |
0.50% |
0.50% |
Strategic Merchants – Card Not Present – Rate 2 |
0.55% |
0.55% |
Strategic Merchants – Card Not Present – Rate 3 |
0.60% |
0.60% |
Strategic Merchants – Card Not Present – Rate 4 |
0.70% |
0.70% |
Strategic Merchants – Card Not Present – Rate 5 |
0.80% |
0.80% |
Strategic Merchants – Card Not Present – Rate 6
|
0.98% |
0.98% |
Industry Program – Government, Utilities & Telecom
|
NZ$0.70 |
NZ$0.70 |
Industry Program – Insurance
|
NZ$1.00 |
NZ$1.00 |
Industry Program – Recurring Payments
|
0.70% |
0.70% |
Electronic – Card Present
|
0.60% |
2.00% |
Standard – Card Not Present
|
1.25% |
2.00% |
An AFT is a VisaNet transaction that pulls funds from a Visa card account for the purpose of funding a different, non-merchant account, such as prepaid card accounts, financial account, P2P accounts or digital wallets.
Credit – AFT
|
1.25%
|
1.85%
|
1.97%
|
2.00%
|
Strategic AFT Rates (Consumer Debit Product Only)
|
0.30%
|
N/A
|
Debit – AFT
|
1.10%
|
2.00%
|
Prepaid – AFT
|
1.25%
|
2.00%
|