That was the reaction from CT Partners, who are moving swiftly to support their 35 member businesses following the RBA’s decision to ban card surcharges from October 1.
The company added that the ruling will directly increase the cost of doing business for travel agents, TMCs and tour operators, with corporate-focused members facing the sharpest impact.
“This decision lands squarely on our members and CT Partners’ job is to make sure none of them face it alone,” said Matt Masson, CEO of CT Partners.
“From today, we are focused entirely on making sure every one of our members walks into October with a clear understanding of their exposure, a plan for their payment arrangements and the tools to have confident conversations with their corporate clients about what changes and what doesn’t.”
For CT Partners’ members operating corporate travel management businesses, the change also affects the value proposition of the card-based rewards programs many of their clients rely on.
Compressed interchange will reduce the points-earning capacity of corporate credit cards and members will need to help their clients reassess how their travel programs are structured accordingly.
“CT Partners exists to give independent travel businesses the support and buying power of a much larger organisation and that’s exactly what we’re mobilising right now,” added Mr Masson.
“Business travel delivers returns that aren’t going away and the role of the travel manager in helping clients navigate this change is more valuable, not less. We’re giving our members the language, the data and the confidence to have those conversations.”
Travel organisations have also expressed disappointment that the RBA chose to prioritise the positions of Visa, Mastercard and the major banks over every other business group that engaged in the surcharge review.
However, Visa have warned that the RBA decision could quickly raise the cost of credit and squeeze access for Australians.
“Removing surcharging across debit and credit payments is the right move and this should keep prices in check for consumers so they only pay what they see on the tin,” said Alan Machet, Visa’s Group Country Manager for Oceania.
“That said, until there is parity in regulation across all payment methods in Australia, more expensive, unregulated options will continue to bring up the overall cost for consumers and businesses.
“The next phase of this review will be critical to ensuring Australia maintains a globally competitive payments system, with consistent rules across all participants, support for cross‑border commerce and the ability to keep investing in secure, future-ready technology.”
