You've chosen your groceries, ordered your coffee or picked up something from a local shop.

Then, just before you tap your card, you're told:

"There's an extra charge if you're paying by card."

Many South Africans have experienced this, leaving them wondering whether it's actually allowed.

The answer is generally no.

According to the Payments Association of South Africa (PASA), merchants that accept Visa and Mastercard payments are not allowed to charge customers an additional fee simply because they choose to pay by debit or credit card. The cost of accepting card payments is considered part of the merchant's operating costs and should already be included in the advertised selling price.

Why Can't Shops Add a Card Fee?

When a business accepts card payments, it pays a merchant service fee to its bank or payment service provider for processing those transactions.

While these costs are a normal part of doing business, they should not be passed directly to customers as an extra card payment charge.

PASA says the no-surcharge rule forms part of the payment system rules that acquiring banks must enforce with their merchants. These rules are also aligned with the operating rules of major card networks such as Visa and Mastercard.

For consumers, this means the price displayed on the shelf should generally be the price you pay when using your debit or credit card.

Can Shops Offer Cash Discounts?

Yes.

There is an important difference between charging extra for paying by card and offering a genuine discount for paying in cash.

A business may choose to reward customers who pay in cash, provided pricing is transparent and customers clearly understand their options before making a purchase.

For example:

• Item price: R100
• Cash discount: Pay R95 if paying in cash

This is different from advertising an item at R95 and then adding a R5 fee because you choose to pay by card.

Transparency is the key.

What Should You Do If You're Charged Extra?

If you're asked to pay an additional fee simply because you're using your debit or credit card:

• Politely ask why the fee has been added.
• Check whether the additional charge was clearly explained before you agreed to buy the item.
• If you believe the fee is inappropriate, raise the matter with the business first.
• If the issue cannot be resolved, contact your bank, which can investigate the matter through the appropriate payment system channels.

Many businesses want to do the right thing and may be unaware of the latest payment rules.

Why This Matters

Card payments have become one of the safest and most convenient ways to shop.

Whether you're buying groceries, filling up your car or enjoying a meal at a local café, knowing the rules helps you make informed decisions and encourages fair, transparent pricing for everyone.

Understanding your rights also helps businesses build trust with their customers.

The Bottom Line

Most South Africans now use debit or credit cards every day, often without giving the payment process a second thought.

While businesses do pay fees to accept card payments, those costs should generally already be included in the advertised price rather than added as an unexpected charge at the till.

Knowing the difference between a legitimate cash discount and an unlawful card surcharge helps consumers shop with confidence while supporting businesses that follow fair and transparent pricing.