American Express has been included in Commonwealth Bank’s simple merchant plans, meaning small businesses no longer need to negotiate both bank and credit card provider pricing for their merchant point of sale transactions.
CBA and American Express announced the arrangement on Monday, which they expect will encourage more small businesses to offer American Express card payments, providing greater choice for consumers.
Many businesses across Australia currently negotiate separate pricing packages with American Express to offer the payment option for their existing merchant plans with their bank.
“Consumers want flexibility in the way they pay for goods and services and by adding American Express we are now providing small businesses with card payment options at the same rate,” said Claire Roberts, Commonwealth Bank executive general manager business banking.
“So including American Express pricing in our existing merchant plan means our business customers can easily broaden their card acceptance for their customers. It’s about greater convenience for both businesses and consumers and this arrangement is exclusive to Commonwealth Bank.”
The new deal will see American Express included in Commonwealth Bank’s Simple Merchant Plan – a single package for all payment options for the bank’s small business customers – with CBA claiming that no other local bank is able to match this arrangement.
“American Express card members spend, on average, 92 per cent more than other credit card users,” said Daniel Parsons, American Express vice president merchant services.
“Our partnership with Commonwealth Bank will make it easier for Australian small businesses to accept American Express, attracting these high-value customers. In doing so, our card members will be able to use their cards in more places.”