How to Avoid ALDI Card Surcharge When Using HSBC Debit Card?

LKhaosprinz on 16/09/2022 - 11:15
Last edited 16/09/2022 - 11:30 by 1 other user

Hi everyone,

Since the Hiver 5% cashback deal is over I started using my HSBC debit card to get the 2% cashback.

I noticed with the Hiver digital Visa debit card there was an option to use Sav Eftpos when taping the card which didn’t incur the card surcharge at Aldi.

However, with the HSBC debit card there doesn’t seem to be an option and I was charged the 0.5% surcharge when taping.

Just wondering if any of you would know a way to still get the 2% cashback whilst avoiding the 0.5% surcharge?

Thanks

Financial

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Comments

  • bdl on 16/09/2022 - 11:28
    +13

    Don't buy anything

  • MrHyde on 16/09/2022 - 11:37
    +4

    I thought I remember reading somewhere that to make a debit card transaction go through Eftpos and not the credit card network; you need to insert the card in - not use Tap/Paywave.

    • foxmulder on 16/09/2022 - 13:14
      +2

      I'm sure op meant to still getting the cashback. Not tapping won't get you the cashback

    • Kyle-K on 17/09/2022 - 09:24

      Actually this is a lot more complicated these days most transactions on dual network debit cards when using contactless are rooted through by default the network on the face of the card normally Visa or Mastercard.

      However the Australian government has mandated that merchants can do what's referred to as least cost routing.

      This means merchants can choose to request when you tap and use contactless a different payment rail application stored on the chip which is normally the application for contactless eftpos.

      Routing the payment through the payment network that technically cost the merchant the least this is done transparently in most situations without users probably knowing. Some large merchants here in Australia already doing this.

      But you're correct if you want to ensure the correct network is used you need to insert can use the chip if you're using a physical card or use a digital wallet Apple Pay and Samsung Pay will let you choose which network is used with contactless as both these digital wallet platforms now support dual network debit cards.

      You can also use a eftpos only card to make your transactions when using contactless go through the eftpos network.

      Additionally like in other countries payment terminals could be configured here to make you choose a payment network before tapping using contactless.

  • CodeXD on 16/09/2022 - 11:37
    +6

    How to Avoid ALDI Card Surcharge When Using HSBC Debit Card?

    Insert the card and select savings.

    • Baysew on 16/09/2022 - 11:45
      +4

      Avoids the surcharge but doesn't get the 2% cashback as not a Tap & Pay transaction.

  • naruto128 on 16/09/2022 - 11:45
    +9

    Thought the 2% cashback is only applicable if paywave is used. Still 1.5% better off

  • Khaosprinz on 16/09/2022 - 11:46

    Ok thanks guys. In order to get the 2% cashback you have to use Tap/Paywave. It’s a pity that HSBC doesn’t offer the same feature as Hiver and implements the Eftpos option in the digital wallet.

    • foxmulder on 16/09/2022 - 13:17
      +7

      1.5% is still better than -0.5%

  • Mokr on 16/09/2022 - 13:55
    +3

    Eat your grapes before buying, peel banna skin

  • Cluster on 16/09/2022 - 13:58
    +5

    I use my HSBC card at Aldi and enjoy the 1.5% cashback. It's enough.

  • Toph Beifong on 16/09/2022 - 21:19

    As others said above. Do the math, you are still getting 1.5% back

    • shortgum on 17/09/2022 - 02:18

      ok. do the math.

      Purchase $100
      $100 x 0.5% = $100 x 0.005 = $0.50. surcharge

      Total price $100.50. HSBC 2% cashback
      $100.50 x 2% = $100.50 x 0.02 = $2.01

      Actual cashback
      $2.01 - $0.50 = $1.51

      Any purchase by this method at ALDI will get 1.51% cashback

      :P

      • Toph Beifong on 17/09/2022 - 08:05
        +4

        Except the total price is now $100.50 which means you will get no cashback.

  • JIMB0 on 16/09/2022 - 22:48

    Have you tried tapping the physical card and seeing if it goes through the eftpos network?

    • Kyle-K on 17/09/2022 - 08:54

      Aldi does not least cost route payments through to the eftpos network.

      • lgacb08 on 17/09/2022 - 12:25

        Based on what he got with hiver, it appeared HSBC is the one doing it, not Aldi.

  • Kyle-K on 17/09/2022 - 09:05
    +2

    OP essentially you can't avoid the surcharge and get the cash back at the same time. The 2% that HSBC is giving you likely comes from the Visa interchange part of the transaction that HSBC earns.

    The eftpos network works on a fixed cost per transaction there's no percentage cut taken as interchange. So they're highly unlikely to pay you a cashback on those transactions. This is also why Aldi doesn't have a surcharge on eftpos it's a fixed cost.

    Additionally the HSBC cashback requires you to use Visa via contactless. You can avoid the surcharge at Aldi by inserting the card and choosing "eftpos SAV" or "eftpos CHQ" as HSBC issue dual network debit cards but you won't be getting the cash back if you do that.

    https://www.hsbc.com.au/accounts/products/everyday-global/
    You will earn 2% cashback on eligible purchases under $100 when you tap and pay with Visa payWave, Apple Pay or Google Pay™. This will be paid into your Everyday Global Account with the maximum cashback you can earn being $50 per calendar month. Eligible purchases must be made in Australian Dollars and where the merchant or its financial institution/ payment processor is registered in Australia. Purchases which are excluded for cashback include business, gambling and government transactions (including public transport). For the full exclusion list, refer to the Transaction and Savings Account TermsTransaction and Savings Account Terms This link will open in a new window.

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