Payment Surcharges

Payment Surcharges

PayWay is a simple, secure, internet-based solution to collect and manage customer payments.

PayWay can calculate and collect payment surcharges on your behalf.

This allows you to pass the cost of payment acceptance on to your customers. The page describes the payment surcharge feature of PayWay.


  • Pass on costs - pass on cost of acceptance for cards and direct debit
  • Customer service - keep costs down for customers while still offering a range of payment options
  • Easy to use - PayWay automatically calculates the surcharge amount, and includes it in reports
  • Simple accounting - If you have a trust account, PayWay can deposit surcharges to a different account.

How it works

  1. You enter the surcharge rates you wish to charge
  2. PayWay calculates and collects the surcharge for each payment
  3. You receive settlement to your account, and reports which detail surcharges collected.

Setting Rates

You should setup your surcharge rates when you start using PayWay, or when you decide to start charging surcharges.

To set surcharge rates:

  1. Decide on the rates you wish to charge, taking into account your legal obligations
  2. Sign in to PayWay
  3. Click Settings
  4. Click Surcharges
  5. Enter rates and click Save.

You can enter a percentage surcharge for the following card types (if accepted):

  • Visa Credit
  • Visa Debit
  • Mastercard Credit
  • Mastercard Debit
  • UnionPay
  • American Express and JCB
  • Diners Club.

If you accept bank account direct debit, you can set a flat dollar amount.

If you decide to impose a surcharge, you must ensure your customers are aware - before they enter into the transaction or contract - that a surcharge will apply and the amount of the surcharge.

You can not charge a surcharge which is more than it costs you to process the transaction.

These articles contain information to help you comply:

Customer vault

By default, the new surcharge rates do not apply to existing customers stored in the PayWay customer vault. Those customers remain on the surcharge rate that applied at the time they were added to the vault.

To change the surcharge rate for all customers in the customer vault to the latest surcharge rate:

  1. Sign in to PayWay
  2. Click Settings
  3. Click Surcharges
  4. Select Update all recurring customers to new rates and click Save.

To change the surcharge rate for a single customer in the customer vault to the latest surcharge rate:

  1. Sign in to PayWay
  2. Click Search and Edit in the Customers menu
  3. Find the customer
  4. Go to the Recurring Billing Setup page
  5. Click Edit and the wizard will allow you to change to the new rate.


PayWay calculates and collects surcharges for:

  • PayWay Virtual Terminal
  • PayWay Net (excluding PayPal®)
  • PayWay Phone
  • PayWay Recurring Billing and Customer Vault
  • PayWay Batch

The principal amount is the amount due without surcharge. You or your customer enter the principal amount. If you upload a payment file, the amount in the file is the principal amount.

PayWay calculates the surcharge amount and total payment amount. We round the surcharge amount to the nearest cent. Your customer's credit card or bank account shows a single debit for the total payment amount.

The payment receipt details the principal, surcharge and payment amounts.

Developer? The PayWay REST API supports surcharges. See PayWay REST API Surcharges.

Classic credit card API

If you use the PayWay Classic Credit Card API and you wish to surcharge, your system must calculate the surcharge amount and payment amount.

Payment methods without surcharges

These payment methods do not allow surcharges:

  • BPAY®
  • Australia Post®
  • PayWay Match EFT
  • Remittance Processing Service
  • Westpac Branch Payments
  • PayWay Net PayPal


When a refund is processed, PayWay calculates the amount of surcharge to refund.

When a payment has been refunded in full, the surcharge is refunded in full.

If a credit card payment is partly refunded, a pro-rata surcharge amount is refunded.

If a bank account direct debit payment is partly refunded, the flat surcharge amount is not refunded.

These calculations are based on the rate from the original payment, which may be different to current surcharge rates.

Classic credit card API

If you use the PayWay Classic Credit Card API, your system must calculate surcharges for refunds.


Settlement is the process of paying you for transactions which have been processed.

By default, you receive a bulk settlement for the total payment amount including surcharges.

In order to make your accounting easier, PayWay can settle surcharges separately.

Scenario Setup
Trust Account PayWay settles the principal amount to your trust account, and surcharge amount to your general operating account.
Accounting Ease PayWay settles the principal amount as one line item and surcharge amount as a second line item to your bank account.

To enable separate surcharge settlement, contact us.

This feature is not available for all payment types.

Payment Type Surcharges? Settle Surcharges Separately?
Visa Yes Yes
Mastercard Yes Yes
UnionPay Yes Yes
Bank Account Direct Debit Yes Yes, if using 3-day User ID. No, if you have your own direct entry User ID
American Express / JCB Yes No
Diners Club Yes No

Other payment types do not have surcharges.


PayWay customer and transaction reports include details of surcharges.

Receipts files

Receipts files contain a list of transactions processed.

The PayWay Transaction Export is a CSV format listing all transactions. These columns relate to surcharges:

Column Notes
PrincipalAmount the dollar amount before the surcharge has been added
SurchargeAmount the dollar amount of the surcharge
Amount the amount paid; the principal amount plus the surcharge amount
YourBankAccount the bank account used for settlement of the total payment amount, or if surcharges are settled separately of the principal amount
YourSurchargeAccount if surcharges are settled separately, the bank account used for settlement of the surcharge amount

PayWay can produce a variety of formats suitable for upload into accounting packages (e.g. RECall format).

If the format includes only a single amount field for each payment:

  • If surcharges are settled separately, the amount is the principal amount
  • Otherwise, the amount is the total payment amount


To find the surcharge applicable to customers in the PayWay customer vault:

  1. Sign in to PayWay
  2. Click Search and Edit in the Customers menu
  3. Click All Customers
  4. Click Export to download a CSV report.

See the SurchargeAmount column.

Contact us

Purchase PayWay

Phone a Customer Care Banking Representative on 1300 368 098 between 8 am and 8 pm (AEST), Monday to Friday.

Add merchants, accounts, modules or close a facility

Phone a Customer Care Banking Representative on 1300 368 098 between 8 am and 8 pm (AEST), Monday to Friday.

Free test facility

To develop and test, get a free PayWay test facility.

Reset password

Visit Reset Password and use your email address and security question to reset your password.

Technical support

Phone the Helpdesk team on 1300 727 111 between 8.30am to 5.30pm (AEST), Monday to Friday or email

Things you should know

(1) If you want to accept American Express, Diners Club or JCB cards you will need to enter into separate agreements with American Express, Diners Club International or JCB International.

PayWay® is a registered trademark of Westpac Banking Corporation. PayPal is a registered trademark of PayPal, Inc. Mastercard is a registered trademark of Mastercard International Incorporated. American Express is a trademark of American Express. UnionPay is a registered trademark of China Union Pay Co. Ltd. Australia Post is a registered trademark of Australian Postal Corporation. Acceptance of payments at Australia Post is subject to approval by Australia Post. BPAY is a trademark of BPAY Pty Ltd ABN 69 079 137 518.

Conditions, fees and charges apply. This information has been prepared without taking account of your objectives, financial situation or needs. Because of this you should, before acting on this information, consider its appropriateness having regard to your objectives, financial situation and needs.

Copyright© Westpac Banking Corporation ABN 33 007 457 141 AFSL & Australian credit licence 233714.