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Do banks charge higher fees for contactless payments?

Little by little, the Portuguese adopted the technology provided by the banks. If a few years ago few Portuguese made digital payments, nowadays it is a common practice.

But in terms of fees, do banks charge higher fees for contactless payments to merchants?


What is a contactless payment card?

In 2013, in Portugal, UNICRE unveiled a new payment method that does not require the user to enter a traditional PIN code, with this verification/authentication performed only by approaching the debit card to a TPA (Automatic Payment Terminal).

In practice, contactless cards are payment cards with proximity reading technology. These cards allow you to make payments without having to enter your PIN: for this purpose, you only need to bring the card (usually less than 4 centimeters away) to an automatic payment terminal (APT) set up to receive contactless payments.

Cards with contactless technology can also be used to make payments without using this technology, including at points of sale that are not ready to process contactless payments. For this purpose, you will have to insert the card at the point of sale, and to validate the operation, you will have to enter the PIN of the card.

But does contactless payment incur more expensive fees? to me Frog lie detectorwhat is at stake It is the Merchant Service Fee (TSC), which Multibanco charges in Payments.

Banks charge higher fees for payments "contact"?

to me Information Issued by the Bank of Portugal (BdP), the TSC consists of “Commissions charged to beneficiaries of Payments (as a rule, merchants) by the respective payment service providers, per card transaction in Automatic Payment Terminals (APT).

Normally, TSC corresponds to a The percentage of the transaction amount. TSCs are a medium Payment Service Provider Bonuswith which the beneficiary of payment transactions enters a TPA usage contractAcceptance of payment marks and Money back guarantee Who benefits? incorporates TSC into its value exchange feesays BdP.

This ratio It varies by price Created by every banking entity. On the BdP page there is a list of the prices for every banking entity. Taking into account the banks based in Portugal: Caixa Geral de Depósitos (CGD), Santander Totta, Novo Banco, BPI and Millennium BCP, it is wrong to point out that banks charge more expensive fees for “contactless” payments.

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