ASIC pings Aldi for credit card failure

Aldi, owned by the highly secretive and reclusive Albrecht family of Germany, failed to consistently disclose in all of its stores that there is a 0. 5 per cent surcharge for consumers paying by credit card, and specifically disclose that transactions made using ‘tap and go’ contactless payment systems were also subject to the 0. 5% surcharge, which applied in ALDI stores where either a credit card or debit card is used.

ASIC was also concerned that for all contactless payment transactions, which are currently treated as credit card transactions for all merchants, there was no specific disclosure at all in Aldi stores that these transactions also attract the 0. 5% surcharge irrespective of whether customers used a debit or credit card.

For credit card payments where a PIN or signature is used, disclosure of the 0. 5% surcharge was made on the credit card terminal screen after customers inserted or swiped their card to pay for their purchase. ‘’ASIC considered that this was too late, particularly in stores where there was no other disclosure,’’ a statement from the regulator said today.

The Australian Securities and Investments Commission has today reported that Aldi has pledged to improve signage and other point-of-sale communication about the disclosure of credit card surcharges in its supermarkets following an action by the corporate regulator.

An ASIC review of signage in a select number of Aldi supermarkets found that the 0. 5% credit card surcharge was disclosed in some stores by a sign above the registers and, in others, by a sticker at the registers.

Deputy Chairman Peter Kell reiterated the need for merchants to clearly disclose any credit card surcharges. ‘Merchants need to be transparent about fees and charges where credit card surcharges apply so that consumers can consider using other payment methods without any additional costs.

Read more here: SMH


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