Users of electronic payment facilities in Australia are protected by the ePayments Code. This code regulates consumer electronic payments, including ATM, EFTPOS and credit card transactions, online payments, internet and mobile banking, and BPAY.
ASIC is responsible for the administration of the ePayments Code. We monitor subscribers’ compliance with the code and review the code regularly.
Almost all banks, credit unions and building societies in Australia are subscribers to the ePayments Code. Other providers of consumer electronic payment facilities such as PayPal have also subscribed to the code.
Among other things, the ePayments Code:
- requires subscribers to give consumers clear and unambiguous terms and conditions,
- stipulates how terms and conditions changes (such as fee increases), receipts and statement need to be made
- sets out the rules for determining who pays for unauthorised transactions, and
- establishes a regime for recovering mistaken internet payments.
There are more limited requirements for low value facilities that can hold a balance of no more than $500 at any one time.
What does it mean for consumers?
The Code only protects consumers who deal with a subscriber. You should check that the banking or payment services organisation you are dealing with is a subscriber by
- checking the ASIC register of subscribers; or
- checking their terms and conditions (if the company is a subscriber, it will say so in the product’s terms and conditions)