Monday, 30 June 2008

Convenience fee removed from debit and credit card payments

From tomorrow people who make online student loan or child support payments to Inland Revenue won’t have to pay an extra 2.49% bank fee, Minister of Revenue Hon Peter Dunne said today.

“This change reflects the Government’s decision to make it easier and cheaper for primarily overseas-based student loan borrowers and child support paying parents to make online payments using debit or credit cards,” Mr Dunne said.

“Until now, the convenience fee of 2.49% per transaction amount has been passed on to customers as a charge by their credit card issuer. It appeared as a separate transaction on their card statements.

“Inland Revenue will now pay this fee on their behalf.”

Debit and credit card payments can only be made using MasterCard or Visa, through Inland Revenue’s online payment facility. Customers have been able to make online credit card payments for several years and the debit card option was added in April 2008.

“These changes are part of a strategy towards assisting people to make payments on time, and to reduce student loan debt and make child support payments,” Mr Dunne said.

ENDS

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