- Short answer
- No: PayPal's terms and Afterpay's Nov 2025 terms ban surcharges; per the ACCC, the Oct 2026 card ban covers only Visa, Mastercard, Amex, eftpos.
- PayPal rule covers
- Australian PayPal accounts, under the agreement last updated October 5, 2026.
- Afterpay exception
- In-Store transactions only; it doesn't cover an online Shopify checkout.
- Renamed fees
- PayPal bars any other fee for it; Afterpay's 2025 copy counts higher prices or shipping for choosing Afterpay as surcharges.
- Bank transfer
- Outside the card ban; show any surcharge prominently before purchase and don't mislead.
What PayPal's and Afterpay's own terms say
The rule sits in each provider's own terms. PayPal Australia's user agreement, last updated October 5, 2026, covers Australian PayPal accounts:
You agree that you will not impose a surcharge or any other fee for accepting PayPal as a payment method.
Afterpay's archived AU merchant agreement says, under Surcharges:
You must not impose a surcharge on the Customer or discriminate against the Customer in any way for using Afterpay as a payment mechanism.
Its definition of a surcharge includes a higher sale price, shipping cost or other fee applied because the customer chose Afterpay. Its one exception covers in-Store transactions only, so it doesn't reach an online Shopify checkout.
What the October 2026 surcharge ban covers
From October 1, 2026, the ACCC says businesses can no longer surcharge Visa, Mastercard, American Express and eftpos card payments; the rules don't stop other fees unrelated to paying by card.
The Reserve Bank of Australia does not currently regulate surcharges on non-card payment methods; it lists PayPal's own no-surcharge rule as taking effect October 5, 2026. For your displayed prices, see what changed in October 2026.
What you can still do on Shopify
A bank transfer surcharge falls outside the card surcharge ban, but you must not mislead customers about what they'll be charged or why, and should show the surcharge prominently before they decide.
In Shopify, payment customizations sort, reorder, hide and rename payment methods through an app, though PayPal's terms bar placing any method ahead of PayPal. Whether any setting adds a fee by payment method is covered on our credit card surcharge page.
To recover a higher PayPal or Afterpay cost, build it into your prices, as the ACCC advises for card costs.
The RBA says discounts for particular payment methods remain allowed, and, for those, the ACCC says the full price must be displayed, with any discounted price alongside it; see how to offer a payment method discount. If you take PayPal or Afterpay, check their terms first: PayPal's terms require treating PayPal at least on par with other methods, including in fees, and Afterpay's bar discriminating against Afterpay users “in any way.”
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