New Zealand Payments
New Zealand’s payment system is comprised of a complex web of technical infrastructure, arrangements, and standards that involve many intermediaries. The system also consists of a series of clearing systems.
Local banks can now send and receive electronic bank payments on a daily basis, including holidays and weekends. This change is the result of a partnership between New Zealand’s banking system and Payments NZ.
Credit cards
Card payments remain popular in New Zealand, although debit card market share has declined. Online payment solutions like PayPal have become increasingly popular. These offer convenience to customers and allow you to avoid the cost of a New Zealand bank account.
You can use your credit cards at many retail and service suppliers throughout New Zealand, including hotel chains and tour operators. Some may charge a fee for accepting card payments. However, direct debit specialist systems such as GoCardless are low cost and can be incorporated into your website checkout or secure payment links. They are also fast and reliable. This helps you to increase customer retention.
Foreign currency
Whether you’re travelling on business or for vacation, it’s important to have a few options for accessing money overseas. A travel-friendly debit card can save you money on ATM withdrawal fees and a credit card may give you access to interest-free purchases.
A foreign currency account can also be a smart option if you’re planning to travel abroad frequently. However, each option has its own eligibility requirements, features and fees, so it’s worth doing your research before choosing one. Keep an eye on exchange rates by using a currency converter. A small markup in the exchange rate can add up to high costs over time.
Travellers’ cheques
A traveller’s cheque is a paper-based form of currency that can be used to pay for goods and services in foreign countries. They are backed by the obligor (the company that issues the cheques), which guarantees payment up to the face value.
These days, most people don’t bother with travel cheques. Prepaid cards are a great alternative. They can be topped up as needed with cash from your electronic account, and can also be used online, over the phone or for ATM withdrawals. Many travel cards even have extras like insurance built in. They are a lot safer than carrying cash. Plus, you can claim the value back if they are lost or stolen.
Buy Now Pay Later
Buy now pay later (BNPL) services allow shoppers to make purchases with interest-free installment payments. These services can be used for online and in-store shopping and are popular among New Zealand https://newzealandpayments.co.nz/ consumers. They are typically offered by e-commerce retailers like Afterpay and Klarna.
New Zealand merchants are increasingly offering these payment options in their e-commerce stores. These services are more convenient for consumers and provide an alternative to credit cards. They also offer benefits for merchants, such as lower processing fees than credit card payments.
Consumer NZ has called for buy now pay later services to be regulated under the Credit Contracts and Consumer Finance Act. However, the government has said it is seeking feedback on the issue.
Online banking
Online banking is a popular payment method in New Zealand. It allows customers to send and receive money between their bank accounts. This service is offered by a number of banks in New Zealand, including ANZ, ASB, BNZ, Westpac, Kiwibank, TSB and more.
Credit card payments and PayPal are the most popular online payment methods in New Zealand. However, e-wallets like POLi and AfterPay are also gaining popularity. These services enable shoppers to pay for goods and services after they have received them, interest-free. This means that retailers can increase their conversion rates and make more sales. The service is available through a variety of banking apps.
Mobile payments
Get paid everywhere with a mobile payment device. Easily accept EFTPOS, Visa and MasterCard payments on the go. Your device comes pre-loaded with a 4G SIM card at no extra cost. Track payments in real time and see transaction history.
Having the right online payment options can make a big difference to your bottom line. Whether you’re a weekend market vendor, local cafe or food truck, sole trader or taxi driver, having the ability to accept credit and debit payments is key. Luckily, a number of New Zealand payment systems are available to help you get started. These include payment gateways and direct bank transfer specialist systems like POLi.