End to credit and debit card surcharges

13th January 2018

End to credit and debit card surcharges

Today, Saturday 13 January, new EU rules come into force to ban added card surcharges. 

Companies and retailers will no longer be legally allowed to add card surcharges. This applies to any online payments, credit transfers and direct debits, and will remain law when the UK leaves the EU in March 2019.

The latest rules form part of the Payments Services Directive (PSDII)  No card surcharge of any amount can be legally charged from today.

The changes are intended to benefit consumers by removing additional surcharges they were being faced with just for paying by card. It is expected to save UK card users around £473m per year.

The ban stems from changes to interchange fee regulations, which were introduced to make it cheaper for businesses to accept/process card payments. However, it won’t apply to fees not linked to payment methods, such as booking fees for theatre, concert and cinema tickets, or charges for using certain cash machines.

It will be up to local Trading Standards teams to look into any complaints about businesses still charging consumers for card payments from Saturday. So if you do spot any surcharges that could break the rules after then, you can report this practice to your local Trading Standards office for investigation. You can also let us know and we make look into your case.

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