CFOtech Australia logo
Technology news for Australian CFOs and financial decision-makers
Story image

Australians re-examining spending fees and charges

By Shannon Williams
Wed 15 Jun 2022

Australians are leaving no stone unturned in their quest to find savings in their essential spending – including fees on payments themselves, according to a new survey from Money Transfer Comparison.

With the population making more than 10 billion debit and credit card purchases, worth more than $670 billion, each year, surcharges on credit cards, payment apps and even direct debits can add up significantly over 12 months.

Money Transfer Comparison commissioned a survey of an independent panel of 1000 Australians to find out whether individuals were looking to save on payments over the next 12 months. It found that a whopping 76 per cent of respondents are conscious of fees on payments and are starting to make savings in this area. 

Australians use a range of methods to make payments. Nearly 70 per cent use BPAY, four in five (81%) have automatic payment arrangements set up, and more than 7 million use PayPal. Collectively they are making around 250 million per month in credit card and charge card transactions, and transfer 21 billion in funds internationally every year. 

From the survey, Money Transfer Comparison found that more than half (53%) of respondents are planning to reduce credit card surcharges by paying more bills through BPAY, PayPal or direct electronic transfer. One third (34%) will research to find the lowest money transfer fees and exchange rates when making international payments. Around a quarter (27%) will actively reduce missed payment fees by setting up automatic direct debits from their bank account for some regular payments.

The survey found that the younger the individual, the more likely they will be looking for savings on their payments. Nearly nine in 10 (87%) of 18-30-year-olds will proactively change the way they pay for expenses and goods, compared with 79% of 31-50-year-olds and 68% of over-50s.

Specifically, more younger Aussies (18-30-year-olds) will research to find the lowest-fee money transfer services (47%), try to avoid paying bills with credit card (56%), and have automatic debits set up to avoid missed payment fees (35%). In comparison, just 24% of over-30s will set up direct debit payments.

It seems that bill-splitting apps have a much larger audience among under-30s, with 17% of 18-30s planning to use these services, compared with just 9% of 31-50s and 3% of over-50s.

The survey found that, across the five major states, the Sunshine State is the most financially savvy, with 80% about to change their payment methods for goods and bills. More Queenslanders (58%) than residents in other states will pay bills through BPAY, PayPal or direct electronic transfer to avoid credit card surcharges; and 33% will have automatic direct debits set up for some payments.

However, more NSW and Victorian residents (36 and 35% respectively) will look for the lowest-fee services for international money transfers. More NSW residents are also likely to use ‘split bill’ apps when dining out with friends and work colleagues.

“Fees and charges on payments are an often-overlooked area for making savings, as they are usually buried in the fine print, making it hard for people to really see how much their digital payments are costing them," says Alon Rajic, founder and managing director of Money Transfer Comparison. 

“We are pleased to see that the majority of Australians are beginning to examine fees more closely whenever they make a transaction. Unfortunately, no transaction is completely and always ‘free’. 

"The aim should be to choose the payment method that is the lowest cost, but which is also safe and convenient," he says. 

"For instance, many merchants who accept credit card payments have a surcharge for such transactions, with rewards cards such as AMEX incurring the highest rate.

“Even BPAY and EFT transactions can incur a fee, either from the bank in the case of BPAY and merchants in the case of EFTs. When making international money transfers, there are two types of fees to be aware of: the transfer fee and the exchange rate fee, and you can find services that charge zero transfer fees," Rajic says.

"With so many money transfer and payment options available, it is difficult to decide which option is best for different types of expenses."

Related stories
Top stories
Story image
Tech job moves
Tech job moves - Bitdefender, Cohesity, Fortinet & MODIFI
We round up all job appointments from June 27-30, 2022, in one place to keep you updated with the latest from across the tech industries.
Story image
Digital wallets
NFTs are ready to disrupt the ticketing world
The last few months have seen NFTs wielded by digital creators to take ownership over their craft and content. Now other industries are beginning to understand the real-world value that these nifty decentralised tokens can provide.
Story image
Artificial Intelligence
Juniper study reveals top AI trends in APAC region
Juniper's research shows an increase in enterprise artificial intelligence adoption over the last 12 months is yielding tangible benefits to organisations.
Story image
Infrastructure
New VMware offerings improve cloud infrastructure management
VMware has unveiled VMware vSphere+ and VMware vSAN+ to help organisations bring benefits of the cloud to existing on-prem infrastructure.
Story image
3D Printing
Fleet Space, Konica Minolta partner for 3D printer offering
Fleet Space has partnered with Konica Minolta to implement 3D printers from 3D Systems to support the commercial small satellite manufacturer’s offerings.
Story image
NaaS
Survey finds 94% of Australian IT leaders looking at NaaS
Aruba’s latest survey reveals a rising interest in NaaS among Australian technology leaders as they re-evaluate their current infrastructure and network setup.
Story image
Sustainability
Honeywell launches new carbon energy management software for buildings
The new Carbon & Energy Management service allows building owners to track and optimise energy performance against carbon reduction goals, down to a device or asset level.
Story image
Cloudera
Overcoming hybrid and multi-cloud challenges to drive innovation
Driven by improvements in technology, financial services companies have advanced both internal and external systems and processes, with the likes of digitisation, personalisation and risk management redefining the industry.
Story image
Cloud
Cloudflare outage in 19 data centers worldwide due to own error
Cloudflare says its outage for 19 of its data centers yesterday was because of a change in a long-running project to increase resilience in its busiest locations.
The Access Group
Increasing headcount isn't always the best way to grow. A good financial strategy can help solve many issues, and The Access Group shares the secret to success.
Link image
Story image
Data Protection
Five signs your business is ready to move to the cloud
Many organisations are thinking about moving to the cloud. But what are the signs you are ready, and what are the reasons to move?
Story image
Accounting
Four factors to consider when choosing the right job accounting solution
Progressive job-based businesses can achieve success by strengthening their ability to quantify every cost attributable to the delivery of an outcome for a customer.
Story image
Artificial Intelligence
Accenture shares the benefits of supply chain visibility
It's clear that gaining better visibility into the supply chain will help organisations avoid excess costs, inefficiencies, and complexity to ultimately improve their bottom line.
Story image
Testing
Video: 10 Minute IT Jams - An update from Tricentis
Tricentis provides software testing automation, and software quality assurance products for enterprise software.
Story image
Digital Transformation
Stax and Consegna partner to accelerate modernisation
According to a statement, the new alliance will help both companies expand their reach across the region and realise joint goals.
The Access Group
Struggling to understand which transformative technologies will help your business? The Access Group provides a look into key opportunities and impacts for finance.
Link image
Story image
Market growth
Salesforce unveils new offerings for consumer goods companies
Salesforce has announced new products for consumer goods companies to help brands navigate increasing market complexity more easily.
Story image
API
Industry-first comprehensive risk-based API security enhances protection
Application Programming Interfaces (APIs) have become a crucial part of operating web and mobile application businesses and are causing significant economic growth in the digital sector.
Digital Transformation
Discover the 5 signs your business is ready for a cloud-based ERP. Is your business being left behind as more of your competitors switch to the cloud?
Link image
Story image
Samsung
Monitors are an excellent incentive for getting employees back
The pandemic has taught us that hybrid working is a lot easier than we would’ve thought, so how can the office be made to feel as comfortable as home? The answer could be staring you in the face right now.
Story image
Wiise
Four things wholesale distributors need to consider for FY2023
In a post-pandemic world, there are many things for a distribution business to juggle. ERP solutions company Wiise narrows down what companies should focus on.
Story image
Gartner
Gartner's top recommendations for security leaders
"Leaders now recognise that major disruption is only one crisis away. We can’t control it, but we can evolve our thinking, philosophy, program and architecture.”
Story image
Hybrid workforce
Why hybrid working is here to stay and how to ace it
Citrix's new report reveals hybrid workers are more productive and engaged at work than their office and completely remote counterparts.
Story image
Manufacturing
Sutton Tools deploys Infor M3 CloudSuite for manufacturing
Sutton Tools has also implemented the Infor OS cloud operating platform, including Infor Intelligent Open Network and Mongoose.
Story image
DNS
DigiCert acquires DNS Made Easy and affiliated brands
Greg Clark comments, says, "This combination enhances the security of certificate validation and enables the automation of future validations."
Story image
Enterprise Resource Planning / ERP
Five ways your ERP is letting you down and why its time for a change
Wiise explains while moving to a new system may seem daunting, the truth is that legacy systems could be holding your business back.
Story image
Contact Centre
Customer service agents don't want to return to contact centres
A new report has revealed that 85% of customer service agents want to work full-time at home and not return to contact centre offices.
Story image
Airwallex
How Airwallex helps businesses achieve globalisation success
As markets continue to shift, businesses need to be able to provide the same quality of service for customers regardless of where they are located around the world.
Story image
Civil Defence
OutSystems platform chosen as part of ADF contract
"To be included in this project is a reflection of our ability to deliver secure, modern digital outcomes for defence at an incredible pace."
Project management
Discover the 4 crucial factors for choosing the right job-costing solution. Is your team struggling to cost jobs and keep projects running on budget?
Link image
The Access Group
Health and social care organisations are currently under significant financial pressure. Find out how financial transformation can help provide an effective route forward.
Link image
Story image
Data ownership
Brands must reclaim trust by empowering data ownership
According to Twilio's new State of Personalisation Report 2022, 62% of consumers expect personalisation from brands, and yet only 40% trust brands to use their data responsibly and keep it safe.
Story image
MSP
Video: 10 Minute IT Jams - An update from CyberArk
Olly Stimpson joins us today to discuss the importance of MSP programmes and how MSP partners are experiencing success with CyberArk.
Story image
Microsoft
TO THE NEW unveils A/NZ Managed Services for Microsoft Azure
TO THE NEW has released Managed Services for Microsoft Azure to meet the growing demand in the A/NZ market and globally.
Story image
Attack
Phishing attacks are making a comeback
No matter what approach or tool cybercriminals use to breach a network, they all have one thing in common: access.
Story image
Robotic Process Automation / RPA
Salesforce announces latest generation of MuleSoft
Salesforce has introduced the next generation of MuleSoft, a unified solution for automation, integration and APIs to automate any workflow.
Supply chain
Discover the 4 critical priorities for wholesale distribution businesses in FY23. Are you worried about how supply chain issues may affect your business in 2023?
Link image
Productivity
Discover the 5 ways your ERP may be letting you down. Is your current system outdated, difficult to manage, and costing you a fortune?
Link image
Story image
Payroll
How New South Wales state departments achieved cloud migration success
State departments in New South Wales are heading to the cloud to achieve better workflow solutions, and one company is paving the way for their success.
Story image
Public Cloud
Public cloud services revenues top $400 billion in 2021
"For the next several years, leading cloud providers will play a critical role in helping enterprises navigate the current storms of disruption."
Story image
Talend
Forrester names Talend Leader in enterprise data fabric
Forrester has named Talend a leader among enterprise data fabric providers in the Forrester Wave: Enterprise Data Fabric, Q2 2022 report.
Story image
Accounting
One in five Aussies never reimbursed for work expenses
A new survey has exposed Australian employee job dissatisfaction, with many being left out of pocket for work expenses. 
Story image
Citrix
The best ways to attract young talent during labour shortages
New research from Citrix reveals hybrid working and ventures into the metaverse are top of mind for Gen Z workers.
Story image
SaaS
Sealord partners with Infor to improve sustainability
Sealord has chosen Infor as a strategic partner to implement an operational cloud-based platform that provides day-one functionality and sustainability gains.