Card-on-file transactions are payments from cards which are stored by a merchant, or its payment system provider for regular payments – such as monthly subscriptions or payments initiated by the customer, such as occasional grocery orders.
The debit card company reported a number of Australian businesses, including 40 Australian banks such as Suncorp, as well as Aussie Broadband and Cluey Learning, were already embracing the offering, with tens of thousands of transactions being processed through the service each month.
Stephen Benton, eftpos chief executive, said the company is “excited to make headway in the digital payment space”.
“It is early days but the service will increasingly enable more small and medium businesses to have Australia’s most popular cards – multi-network debit cards – processed by eftpos, and potentially deliver significant cost savings,” Mr Benton said.
“These potential savings are particularly important for small businesses during COVID-19 and recovery.”
eftpos has made the move as digital transactions have soared amid coronavirus restrictions.
Sarah Simpkins is a journalist at Momentum Media, reporting primarily on banking, financial services and wealth.
Prior to joining the team in 2018, Sarah worked in trade media and produced stories for a current affairs program on community radio.
Sarah has a dual bachelor's degree in science and journalism from the University of Queensland.