How does least-cost routing works for different payments service providers?

Least-cost routing functionality helps save on fees because it allows merchants to choose to route a debit card transaction to the lowest cost network for that transaction, which in many cases the eftpos network. 

More service providers are now offering this in Australia. It is referred to in different names such as ‘tap and save’, ‘merchant choice routing’, ‘wave and save’ or ‘smart routing.’ However, these terms are not always interchangeable because how this functionality works for each service provider can vary.

Some service providers require all dual-network debit contactless transactions to a single scheme which we have categorised below under “All”. Other service providers also provide the option to allow dual-network debit contactless transactions above a transaction value limit or threshold to be routed to eftpos, while transactions below the limit are routed to the original Visa or Mastercard scheme which we have categorised below under “Limit”.

Below is the list of providers categorised by the type of least-cost routing that they offer.

All (transactions routed to eftpos) 

  • ANZ Bank, First Data, St.George Bank, Westpac 

Limit (transactions above a set limit routed to eftpos)

  • Bankwest,Bendigo Bank, Commonwealth Bank, NAB, Suncorp, Tyro

Least-cost routing also may not be eligible on all devices offered by a particular service provider. If you want to know more about why least-cost routing matters, how to enable it and how can it help you, download our FREE PDF from our website here:

You will also receive the FREE service provider comparison table when you sign up for our least-cost routing promotion valid until 31 March 2020.

Article by Merchant Pricing Hub

Merchant Pricing Hub is Australia’s first independent website dedicated to helping merchants find the best in-store or online payments service provider for their business. For more information visit:




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