/payments

News and resources on payments systems, innovations and initiatives worldwide.

Google Wallet opened up for least-cost routing in Australia

Australian Payments Plus (AP+) has worked with Google to roll out eftpos functionality and least-cost routing (LCR) on transactions made via Google Wallet, giving merchants the options to move away from costly card scheme networks.

1 Like 0 Be the first to comment

Google Wallet opened up for least-cost routing in Australia

Editorial

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

Until now in Australia, multi-network debit cards in Google Wallet defaulted to international card networks. From now on, the lower-cost Australian eftpos network will be available.

According to a report from the Reserve Bank of Australia (RBA) from April 2024, the cost of accepting debit card transactions is nearly 20% lower for merchants that have LCR turned on compared with those with LCR turned off.

ANZ and Suncorp Bank are the first two issuers live with eftpos multi-network debit cards in the Google Wallet, with other issuers to follow over the course of 2025.

Adrian Lovney, AP+ chief payments officer, says: “Mobile wallet payments now account for 40% of all in-person transactions, and that share is expected to continue growing in coming years. Enabling merchants to route those wallet payments to the eftpos network brings further competition in the mobile wallet space, which we know lowers the cost of payment acceptance.”

Sponsored [New Report] AI Strategies for Scalable, Secure and Compliant Banking

Comments: (0)

Webinar – Transforming Wealth Management through Macroeconomic InsightsFinextra PromotedWebinar – Transforming Wealth Management through Macroeconomic Insights