Today, Australian businesses use AI for tasks such as drafting, reporting, analysis, and administration. You're probably one of them, but have you considered the risk of starting when your business information is outside the store's control? The problem, I am sure, is not foul play by the AI company but the storage of information. This is what many business people miss: where is the information in an AI service?

Key Takeaways

• Data movement risk: Online AI moves prompts and files into third-party systems, creating privacy, confidentiality, and retention risks.
• Control advantage: Local AI keeps prompts and files inside a business-controlled environment, giving retailers stronger control over access, logging, and deletion.
• Privacy obligations: Personal information in AI prompts can trigger Privacy Act duties about collection, use, disclosure, accuracy, and security.
• Commercial exposure: Confidential business information, such as supplier terms, pricing logic, and dispute strategy, can create serious risk even when privacy law does not apply.
• Shared access risk: Shared AI accounts can expose past prompts, uploaded files, and internal thinking to unauthorised parties.
• Tiered policy: The right answer for most retailers is not all-local or all-online.

What Is Local AI vs Online AI for Business?

Local AI is AI stored on your computer, and that runs on it. Right now, it's really hot with a lot of public interest. The two biggest advantages people see are cost and privacy. Today, local AI can deliver about 80% of what online AI companies can give you.

Let us discuss a real user case.

A staff member ask an AI tool to rewrite their reply to a customer complaint, what is being stored on the AI is the angry shopper's name and address.

How Does the Privacy Act Apply When Staff Uses AI?

Under the Privacy Act, which would apply to AI use if it involves personal information.

The government says you must take a careful approach to AI use involving personal information, conduct due diligence on the product, and build human control, privacy governance, and staff procedures around its use.

Where it is actually frightening is that AI hallucinates. In one study I saw, the rate was between 0.6% and 2.6% today. What happens if An AI hallucination incorrectly states a specific staff member was fired for theft. and that information gets out.

The other concern is that an AI can be very good at finding other information on a person, for example For example, a pharmacy collecting a patient's email for a receipt cannot legally dump email addresses into an AI tool to predict their future medical purchases. The Privacy Act restricts businesses from using data for secondary purposes without consent or an exception.

About business Confidential Business Information?

Confidential business information may include pricing policies, supplier terms, internal reports, and other factors that drive your commercial advantage. This data can create a serious risk when it leaves the business. For example, I remember a newsagent who was very upset when he discovered that a report showing his seasonal greeting card markup by supplier was given to another shop nearby.

What about using AI to prepare an email to a supplier, asking for an extension to pay because they do not have the money this week, and then it ends up with another supplier of theirs?

Shadow AI

Most people have one AI account for business. They then share it with everyone to use. We call this a Shadow AI account. In practice, it means everyone can see the information.

It may get worse, as many people today have smartphones and use them, which means your staff member has this confidential information stored on their AI account. I have no idea how to handle that problem.

How Long Do Online AI Providers Keep Your Information?

There are many pluses to storing this information for a long time. For example, in the above example, where a merchant is writing to a supplier for an extra month's credit, the merchant may need to refer to the letter in a few weeks. So you want it to stay as long as possible. Most suppliers claim they can keep it for 60 days, but I read that their internal logs retain it much longer. We do know from a case in the US that even after the user deleted the information, it was still stored officially for training purposes.*

We do know that AI companies do analyse your messages, not just for training purposes but also for some illegal activity such as paedophilia. How deeply they go, I do not know. Still, I remember how, a few years ago, people were complaining that Google Gemini was becoming unusable because it was so politically correct. The AI refused to label a drink by a hot chill dish by its name in a restaurant. What the AI companies do with the information they flag, I am not sure. It would be nice to know.

Can Using AI in a Legal Dispute Damage Confidentiality or Privilege?

Short answer: YES.

The police or courts can demand this information from you or the AI company. If you use an AI company under US law, they will have no problem getting it. If you use, say, a Chinese AI company, it may not be so easy for them to get it.

If you want to know more, check out the Federal Court of Australia, which published its Generative Artificial Intelligence Practice Note, GPN-AI, on 16 April 2026. This document sets clear expectations regarding the responsible use of AI during proceedings.

There is no problem in a judge ordering a retailer to disclose exactly which AI software they used to summarise thousands of pages of contested supplier invoices and to demand a copy.

Why Does Local AI Appeal to Privacy-Conscious Businesspeople?

The first point is that it limits the risk of third-party access to the data. Today, about 80% of all AI requests in large organisations go through their local AI. It gives the organisation direct ownership of its security and usage. It often allows you to know who asked and when.

AI Policy statement

Here is one I wrote; feel free to use it or modify it as you require.

Artificial Intelligence (AI) Acceptable Use Policy

1. Policy Purpose
   This document defines how we may use artificial intelligence tools to improve efficiency while protecting customer privacy and commercial confidentiality. It establishes well-defined guidelines for tool selection, information handling, accuracy verification, and incident reporting. The policy will be reviewed to ensure compliance with current technical progress and regulatory requirements.
2. Scope of Policy
   It applies to all full-time employees, casual staff, contractors, and temporary personnel. It covers AI usage on company-owned devices, shop-floor tablets, cloud workstations, and personal devices used for work.
3. Approved Tools and Account Access
   Staff must exclusively use AI platforms authorised by management. The IT department maintains a register of approved tools with defined security certifications. Single sign-on credentials are required for all licensed accounts. Unapproved public applications need management approval first. Use of tools falling below minimum security thresholds will stop immediately.
4. Protecting Point of Sale Data
   Extreme caution must be exercised when exporting information from our organisation. This includes such things as raw transactional records, customer loyalty databases, and end-of-day financial summaries must never be uploaded to unapproved public platforms without prior sanitation. Personally identifiable information should be masked before export.
5. Human Review and Accuracy
   Artificial intelligence models frequently generate plausible but incorrect outputs, a process identified as hallucination. Each employee remains fully accountable for the accuracy of machine-assisted work products before the submission. We ask that if in doubt, you see management before release.
6. Incident Reporting and Consequences
   Any accidental data exposure involving AI platforms are required to be reported to the manager on discovery. Rapid reporting enables immediate containment, including session termination, cloud cache deletion, and customer notification if required.

Regards

Manager

Conclusion

An important AI question for a businessperson is who controls the information after it's entered into an AI. You must ensure your operational data remains secure. I suggest, for both cost and security, that you consider Local AI if possible. I discussed deployment of Local AI here.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Many customers still want to pay in cash. Many of these are finding that we are seeing shrinking cash access, fewer ATMs, and weaker retail banks slowly destroying our cash infrastructure.

Key Takeaways

• Cash Out Day 2026 takes place this year on Tuesday, 28 April
• It encourages Australians to withdraw physical cash as a public show of support for keeping cash available.
• Cash still matters to many local shoppers.
• A clearer political consensus is forming that keeping cash is important, but politicians will only push for it if voters and businesses visibly support it.
• Supporting cash can help your store signal convenience, reliability, and community values at a time when trust matters more than ever.
• The October 2026 surcharge changes will reshape payment habits, making it even more important to review your cash policy.
• A simple in-store promotion can help you back Cash Out Day

What Is Cash Out Day 2026 and How Does It Work?

Cash Out Day 2026 is an Australian campaign that encourages people to withdraw physical money on that day to show that cash still matters. In practical terms, shoppers are asked to visit an ATM or a bank branch on Tuesday, 28 April, and withdraw some money as a simple public signal that they want cash access protected.

The campaign speaks to a larger concern. Many Australians can see that access to cash is slowly shrinking, with fewer bank branches and fewer ATMs. This is about sending a message to banks, payment providers, and governments that cash still plays a real role in everyday life.

Importantly, there is also a political angle retailers should not ignore. A clearer political consensus is emerging. Politicians can see that many feel that keeping cash is important. They can see voters push back against branch and ATMs closures. But let us face it, politicians respond to visible public pressure. If they do not see shoppers and businesses actively supporting cash, many will move on to other issues. Policy usually follows pressure, not silence. Silence will cause the issue to fade. For example, if a local MP hears complaints from traders and residents about ATM access, that concern stays alive; if nobody speaks up, it drops down the priority list.

Did Cash Out Day Achieve Its Goals?

Cash Out Day 2024 certainly raised awareness, but unfortunately, in 2025, it did not create the level of public momentum the organisers wanted. They thought it was because so much had happened that day, so people were distracted. I think it was partly because the date got mucked up. Moreover, last year’s poor result was likely due to many Australians believing the issue had already been handled. The government was then talking about protections for cash acceptance, so many assumed the problem was solved. Many of these people would be very disappointed now with what the government came up with. Actually, their proposals were considered disappointing, that it was defeated in the Senate.

How Can Your Store Promote Cash Out Day 2026 In Practice?

Promote Cash Out Day 2026 by making cash acceptance visible and normal, reassuring customers of your support for choice without conflict. A small sign, like “Cash welcome here on Cash Out Day, Tuesday 28 April,” can start conversations without overwhelming customers.

If you want to sign a petition that now has over 200,000 signatures, click here.

Conclusion

This year, Cash Out Day 2026 will hopefully be a practical reminder that cash still matters.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

As a retailer, you need to keep records for years. Government regulations, legal needs, or even access to old customer data are all important! I sometimes had to access very old information just for commercial reasons, 20+ years ago.

Now, have you thought about how long your digital records will last?

Sadly, the hard drives and discs we use aren't built to last centuries, unlike the old carvings archaeologists have been uncovering up to today. Let's look into long-term storage, so you make the right choices.

How Long to Keep Retail Records

In Australia, retailers should keep POS system records, invoices, receipts, daily reports, and end-of-day summaries for at least five years. However, seven years is safer under Australian Tax Office guidelines. Keep payroll records for a full seven years, too. Extend that period if the records relate to assets, warranties, or legal disputes.

Here is a detailed table of the times required, I have put together and by who wants it 

Business Record Retention & Disposal Schedule

I will add that, personally, I am not in favour of deletion unless you have to, as you never know when you might need the information. For example, a client of mine is involved in a case linked to 2006. When records this old are missing, courts accepted that as reasonable, but then it becomes their word against the other party's. This is not a good position to be in! 
 

We call this a Potential Litigation Hold.

What Lasts, What Doesn't, and How to Make it Better

• Cloud storage: Theoretically, it lasts forever, but there will be issues.
• Magnetic Tapes to the Rescue? These can, under ideal conditions, last a long time, but few of us actually have the specialised equipment. Besides, it's often a pain to use.
• Old-fashioned Hard Drives: Most last about 3-7 years, though a lucky few last longer. To keep them, you need to use them; otherwise, they deteriorate after about two years.

• Optical Discs: Please aim for quality; write-once media like Verbatim Gold have longer longevity, and the cheaper ones have much less. For CDs and DVDs, you are looking at 5 to 100 years, depending on the type. When I went to the Verbatim website and looked at their warranty here, I noticed they only offer a 2-year warranty, which does not include a data retention guarantee. The courts may have something to say about that, but few people want to have to argue this in court.

Most people today, when considering very long-term storage, look to DVDs because they are both convenient and economical. If you go this route, here is how to do it:

Protecting Your Precious Data on CDs and DVDs:

It depends on three main factors:

1. Have more than one backup. I argue that you do not have a backup if you have only one. These two backups should be stored in different locations so that if anything happens to one, the other is safe elsewhere.
2. You need good-quality DVDs. There are good reasons why they are a bit dearer. This comes from a Canadian government study, which you can find here.

3. Environment matters! Pick a place:

• Cool & Dry: Store items at around 20°C with about 40% humidity.

• The Dark Side: Store discs in cases out of direct sunlight. I put a sealed plastic bag over them.
• Peace & Quiet: Avoid putting the discs where they will be moved or dropped.

Using DVDs for archiving business and POS records has distinct advantages and drawbacks, especially compared to modern hard drives or cloud storage.

Pros of DVD Storage

• Long lifespan: High-quality, archival-grade discs (such as those with a gold metal layer) can last 50 to 100 years when stored in the right environmental conditions.
• Tamper-proof: Standard recordable DVDs (DVD-R or DVD+R) are write-once media, meaning that once your data is burned onto the disc, it cannot be accidentally deleted, overwritten, or infected by ransomware.
• True offline security: DVDs provide "air-gapped" cold storage. Because they sit on a shelf rather than being connected to a network, they are completely immune to online hacking or cloud policy deletions.
• Excellent for chunking: DVDs are great for archiving specific, yearly projects (like a disc labelled "FY2025 Accounts"); other methods, like the cloud, tend to mix up your data.

Cons of DVD Storage

• Low capacity: A standard DVD holds 4.7 GB, dual-layer 8.5 GB. Suitable for text reports and spreadsheets but insufficient for larger files, requiring the management of multiple discs.
• Slow write speeds: Burning data is slower than on fast SSDs and USB drives.
• Vulnerable to damage: DVDs degrade within 5-10 years due to heat, humidity, sunlight, or scratches, often going unnoticed until it's too late.
• Limited hardware support: Modern computers rarely have built-in DVD drives.

Cloud Storage

As the limitations of physical storage have become increasingly apparent, cloud storage emerges as a compelling solution for preserving your digital legacy. In theory, entrusting your data to a reputable cloud provider can overcome many of these problems.

Pros:

• Accuracy: Today, many Cloud storage providers offer an astonishing rate of accuracy in their storage capacity. One I saw doing an online search offering 99.999999999% (that's 11 9s!) data durability. That far exceeds the reliability of any physical media.
• Dispersed storage: Many Cloud providers store your data across multiple geographically dispersed data centres, ensuring redundancy and resilience.
• Easy access: Your data is available on demand from any internet-connected device, anytime, anywhere.

Cons:

• Cost: Generally, it costs, though many, like Google and Microsoft, offer a limited free plan.
• Future uncertainty: Considering the time frame we are looking at here, a cloud provider could go out of business, change its policies, and who knows what else.
• Policy: Some cloud providers, e.g. Google, state that they "reserve the right to delete an inactive Google Account and its activity and data if you are inactive across Google for at least two years." So every two years, you have to log in to your account and say, "Hey, this account is still active." It's not a big ask, but it's not entirely set-and-forget.
• Remembering passwords: Cloud accounts rely on account names, passwords, and, increasingly, mobile numbers. Over the next 10 to 20 years, how will you remember these details? Will you have the same mobile number then? If someone else has access to your account and its passwords, they can also access your data.
• Control: In an overall sense, you do lack control.
• Privacy concerns: Be aware of potential changes in data privacy laws or a provider's terms of service. Although few of my clients have an issue here now, the privacy laws are slowly turning to the idea that much data businesses store must be held in Australia, not an issue now, but who knows in 10 to 20 years.

Summing up:

Overall, my preference would be to burn two copies of my business records onto a good-quality DVD. Put them with your business records in a safe place in your house in a protective box, as seen here:

I would then put a copy on a free service like Google, which I could access anytime, anywhere.

If you decide to go this route, here is a suggested policy

Management of Archived Physical Media (DVD/CD)

Effective Date: [Insert Date]

Objective: To ensure business compliance with the Privacy Act 1988 and ATO record-keeping requirements when using non-rewritable storage media.

Access Controls (Security)
Physical Lockdown: All archived DVDs containing personal or financial information are stored in a secured room, fireproof cabinet or safe.

Restricted Access: Only [Insert Job Title, e.g., Business Owner] is authorized to access the archive.

No Active Use: Staff are strictly prohibited from accessing, copying, or disclosing personal data from archived discs for marketing or general business operations.

Labelling & Warning
Every archived disc or its protective sleeve must be clearly labelled with a Generic Warning.
Label Template: “ARCHIVED DATA: [Year Range]. Contains personal information. Access restricted. DO NOT USE. 

Final Disposal (Destruction)
If you decide to destory the disc, it must be irretrievably destroyed. 

Note: Simply throwing a disc in the general waste or scratching it by hand is not sufficient.

Conclusion

Long-term record storage isn't just about compliance; it's about keeping your retail history available and trustworthy for years to come.

Want to get your data storage sorted? Contact us for a free consultation!

Frequently Asked Questions (FAQ)

Q: Can I leave my POS backups on a USB thumb drive in a drawer?
A: No, I highly advise against this. USB flash drives use similar technology to SSDs. If sitting unpowered in a draw for years, they can lose their charge, and your data may silently corrupt or vanish. They are great for moving files around today, but terrible for 10-year storage.

Q: Does the ATO accept digital copies, or do I need the original paper receipts?

Q: What is the best brand of DVD for long-term archiving?
A: Look for "Archival Grade" or "Gold" DVDs. Brands like Verbatim (specifically their Gold Archival range) or CMC Pro are widely trusted. They use a gold reflective layer that resists oxidation and degrades much better than the cheap silver discs you buy in bulk at the supermarket.

Q: Is it enough to email the backup to myself?
A: I do that, and it's okay for a quick, temporary backup, but it shouldn't be your only long-term strategy. Emails can be accidentally deleted, end up in junk folders, or become inaccessible if your email provider changes policies or you get locked out of your account 10 years from now.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Every time a customer taps their card at your counter, a slice of that sale quietly disappears into the banking system. Currently, many recover some of that expense through a checkout surcharge. Here, I will show you exactly how to use your POS System to protect your margins as the 1 October 2026 surcharge ban deadline hits.

Unlike many people, I was one of the few directly involved in the discussion about the Reserve Bank of Australia (RBA) ban on surcharges, and that is why, after reading some of their advice, which I found almost useless and self-serving, I wrote this article. 

Key Takeaways

• The 2026 RBA surcharge ban legally prevents retailers from passing card processing fees directly to customers at the checkout.
• Least-Cost Routing (LCR) directs debit payments to the cheapest network but requires manual activation by the retailer.
• Blended merchant rate plans will hide the proposed fee reductions unless retailers switch to interchange-plus pricing.
• Many fixed-price stock items force shops to absorb payment costs completely because retail prices cannot be raised.
• Premium reward credit cards remain highly expensive to process and will cut deeply into retail profits.
• No-cost EFTPOS providers must alter their entire business model, leaving retailers vulnerable to sudden fee introductions.
• Modern Point of Sale (POS) software allows retailers to find products that can absorb the price bump.

What is the 2026 RBA Surcharge Ban?

The 2026 RBA Surcharge Ban, effective October 1, 2026, prohibits Australian retailers from adding checkout fees to Visa, Mastercard, and EFTPOS transactions. This ensures consumers see a single final price without surprise charges. For example, a retailer can't add a 1.5% fee on a $20 book to cover banking costs. However, this ban only covers processing costs, not penalty rates for weekends or holidays. Retailers can still charge holiday surcharges if they are clearly disclosed, such as a 10% Sunday surcharge at a cafe, excluding card-specific fees. 

The RBA surcharge ban starts on 1 October 2026 for all domestic card networks.

The RBA combined a ban on interchange fees with mandated reductions, which are hidden charges your bank pays to card networks for transaction approval. For instance, the fee for verifying funds with Visa is capped at a lower rate.

Why the 2026 RBA Surcharge Ban Matters for Your Bottom Line

The 2026 RBA Surcharge Ban shifts the burden of payment processing directly onto retailers. This matters because the fundamental cost of processing electronic payments does not disappear; the RBA wants it to be an invisible operating expense. For example, a shop processing $500,000 in card sales annually will instantly lose $7,500 in pure profit if it previously charged a 1.5% fee to its customers.

Card payments cost the Australian economy over $1.6 billion annually.

Consequently, SMB shops face a structural disadvantage compared to massive supermarket chains. Large acquirers and major retail chains can negotiate ultra-low processing rates directly with banks due to their massive transaction volumes. For example, while an independent newsagency might pay 1.2% per tap, a supermarket giant next door might pay a fraction of a cent per transaction.

Are Cash Discounts Still a Legal Alternative to Surcharging After October 2026?

YES. Cash discounts remain a fully legal and compliant pricing strategy for retailers who want to encourage customers to use cash. The Reserve Bank explicitly allows businesses to display a standard shelf price and reduce it at the register for cash. For example, you can price a greeting card at $8.00 on the shelf, but program your pos system to automatically drop the price to $7.80 when the cashier selects the cash payment button.

However, relying on cash discounts is a severely limited strategy in today's digital economy. Almost all consumers have shifted overwhelmingly to cards, meaning a cash incentive will capture only a small percentage of your traffic. For example, putting up a sign offering a 2% cash discount will not convince many busy parents to walk to an ATM.

Therefore, cash discounts can make only a minor contribution to your overall margin protection strategy. You must combine this tactic with rigorous merchant-fee negotiations and smart inventory pricing to protect your entire business. 

Do Premium Reward Credit Cards Cost Small Retailers More After the Surcharge Ban?

Premium reward and corporate credit cards incur higher interchange fees than standard debit cards mainly because of their point structures, and under the 2026 surcharge ban, Australian retailers must absorb these costs now in full. These luxury cards fund their points programs by charging the merchant more. This practice should be illegal, as the merchant is being forced to pay the bank's marketing. The RBA did not seem to care about that.  For example, processing a standard EFTPOS debit card might cost your shop 14 cents, but tapping a platinum frequent-flyer credit card for the same purchase might cost you 80 cents.

Some shops will be hit much more if they sit in an affluent suburb, where customers are actively chasing airline points and cash-back rewards on every small purchase. For example, a customer buying a simple $5.00 newspaper might tap a corporate credit card, with higher fees.

However, because Amex has notoriously high fees and is not local, you will be legally permitted to refuse their cards. For example, you can stick a clear "No Amex" sign on your front door and configure your pos system to decline those specific cards automatically.

Are You Caught in the Blended Rate Trap for Merchant Fees?

This is important: blended merchant fees include the true cost of card processing by charging a flat percentage across all card types. Banks have been aggressively selling these simple flat-rate plans, but they are incredibly dangerous when the wholesale fees drop. 

The upcoming RBA wholesale caps will, as such, not automatically save you money if you remain on such a plan. When the government forces banks to lower their interchange fees, the banks may not be legally required to pass those savings on to retailers under flat-rate contracts. If so, the bank will enjoy a wider profit margin on your transactions while you continue paying the same 1.5% fee.

Therefore, you must contact your bank immediately and review your pricing. Ask about the "Interchange-Plus" pricing model. It is transparent and charges you the exact wholesale cost of the card plus a small, fixed bank markup. For example, on an Interchange-Plus plan, when the RBA drops the wholesale cost of a debit transaction, only then will your monthly merchant bill drop.

How Does Least-Cost Routing (LCR) Lower Debit Card Costs?

Least-Cost Routing (LCR) is a payment terminal feature that automatically directs debit tap-and-go transactions through the cheapest available network, typically EFTPOS, reducing per-transaction costs for Australian merchants. Almost all businesses will be better off under this scheme. However, most businesses do not have it, and, unfortunately, the Reserve Bank has not legally required banks to enable this money-saving feature. This means most retailers are currently paying higher fees simply because they have not activated it. If so, you must take proactive steps now to fix this in your business. Pick up the phone, call your EFTPOS provider, and explicitly demand that Least-Cost Routing be activated. If your provider refuses or claims their older terminals cannot support the feature, it is time to shop for a new EFTPOS provider immediately.

What Should You Do If You Use a No-Cost EFTPOS Provider?

If you are using a zero-cost EFTPOS provider, you are not actually getting free banking; your customers are simply paying your merchant fees via an automatic surcharge.

From 1 October 2026, the RBA will make it illegal to pass card fees directly to consumers at the point of sale. Because zero-cost providers rely entirely on consumer surcharges for their revenue, their current business model probably reverts to charging retailers directly. They cannot legally continue providing you with free hardware and 0% merchant rates.

Now, traditional banks can comfortably keep charging you a flat 1.5% merchant fee behind the scenes, and what you will see is that the zero-cost providers will rewrite their contracts. 

Recently, I contacted a major no-cost EFTPOS provider on behalf of my clients to ask about their business model after October 2026. They admitted they were still digesting the information and needed time to figure out their post-ban pricing strategy. 

Therefore, if you use one of these providers, you must demand answers about your future contract terms. I suggest contacting them in June after they have had some time to work it out. 

How Do You Handle Fixed-Price Inventory vs Flexible Inventory?

Fixed-price inventory is products you do not control, such as lottery tickets, goods with retail prices printed on them, etc. The retailer cannot adjust the shelf price. These items are considered the biggest problem now.

Consequently, you cannot treat your shop as a single, average-profit pool. You need to identify which departments can carry slightly higher prices without being aggressive. 

What Dates Should Retailers Put in the Diary?

We have a strict timeline due to regulatory deadlines, Unfortuanely they don't match retail realities. The government has created a transparency gap. The ban begins in October 2026, but major banks won't publish actual pass-through rates until late January 2027. This leaves you blind during Christmas.

Foreign card interchange caps take effect on 1 April 2027, but we are still awaiting details.

How Can Your POS System Automate Margin Protection?

Your POS system can act as your primary defence against shrinking retail margins. Rather than guessing which items can absorb price bumps, your software provides hard, irrefutable data on category profitability. For example, you can run a GMROI (Gross Margin Return on Investment) report to discover exactly which gift lines sell quickly at a high margin, marking them as prime candidates for a small price increase.

Furthermore, modern POS software allows you to execute these defensive strategies in bulk, saving you days of manual data entry. Once you decide to increase your novelty stationery category by 3%, the software does the heavy lifting. For example, you can use the bulk price update tool to instantly raise prices on 400 separate stationery items with a single click, instantly updating the barcode database.

Your POS system tracks changes in real-time, showing if adjustments like a 40-cent price increase for premium greeting cards impact sales. If sales stay steady, you've recovered fees without losing customers.

What Steps Should You Take Before October 2026?

Retrieve your latest merchant statement and scrutinise it immediately. This document holds your current financial exposure to card fees. For example, identifying exactly how much you pay in scheme fees, terminal rentals, and percentage rates gives you a baseline to measure any future bank promises against.

Next, execute this strict operational checklist to secure your business:

1. Contact your bank to confirm your current pricing model.
2. Demand written activation of Least-Cost Routing for all terminals.
3. In June, if you use a no-cost EFTPOS provider, find out their exact post-October fee structure.
4. Run category margin reports to separate fixed-price from flexible inventory.
5. Strategically raise prices on flexible, high-margin categories before August.

Finally, communicate with your staff so they understand why signage and checkout processes will change. For example, training your team on how to explain the disappearance of surcharges smoothly prevents awkward conversations at the register when the October deadline arrives.

Conclusion

The 2026 RBA surcharge ban is a profound structural shift that forces Australian retailers to manage hidden costs intelligently. While the government narrative focuses on consumer fairness, the reality is more than that.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Today, AI can help with writing, legal work, accounting, financial reporting, admin, customer communication, etc., in business. The fact, however, is that today the real choice is not finding the "best AI", but finding an AI that delivers the best value without becoming a massive computer job. Here, we will break down our hands-on tests comparing local vs. online AI to help you choose the exact setup that fits your shop. It can run either locally or online. Now, can a local AI replace an online AI for your business? The short answer is NO, but the real answer is it depends.

Key takeaways

• Cost is a major factor, with online AI services like ChatGPT generally costing a minimum of $30 to $35 per month.
• Local AI runs directly on your own hardware and can be free to run if you already own a suitable computer.
• Online AI is much faster and easier to use for everyday business tasks.
• Privacy is highly secure with local AI because your sensitive business information never leaves your computer.
• Hybrid setups that mix local and online AI can work well, but they often become messy in everyday retail use.
• Information on both systems is roughly the same
• POS system reports can be easily fed into a local AI, providing insights that are just as good as a paid online service.

What Is a Local AI and an Online AI?

A local AI runs entirely on your own computer, while an online AI runs on a server and is accessed over the internet. For example, a local AI might sit on your PC in your back room, while an online AI can be used anywhere you have internet. This may be a problem if you work both in the shop and at home. My local AI is on my home machine, and I cannot run it at work.

Today, local AI technology has recently taken a massive leap forward as Google released AI software called gema-4-31b-it, which can run on many computers and delivers very good results, sparking immediate interest among some of our clients. It directly addresses the two biggest problems many business owners are considering with AI right now: ongoing costs and data security.

Moreover, the big problem is the technical knowledge required to set it up properly. Based on my conversations with people who have done it, it is not hard, but they all already had a lot of computer skills. Finally, you must remember that cost is not only about money leaving the bank account. If the owner spends three hours trying to fix a local AI model after a software update, the real cost is management time. For example, those three hours could have gone into merchandising shelves, ordering new stock, or supervising floor staff.

How much better this model is compared to others available is debatable; there is a Chinese AI Software model, Qwen3.5, which I have used, and I think is almost as good. There are also some smaller versions, such as gema-4-2b-it, that can run on not-so-powerful computers, which is very good.

How long does a query take?

This depends much on the model that you use. I did a speed test using a question, "when was GST introduced into australia and when does it apply", I ran this many times using Gemma  on my computer

2B it took an average of 4 seconds

4B it took 18 seconds

26 B took 25 seconds

31 B took me 1 minute 10 seconds

Not surprisingly, the larger the model, the better the answer. Now, interestingly, the older QWEN 35 B gave the best answer, taking 35 seconds. Overall, I found QWEN 35 B to be just as good as Gemma 31 B.

But this is the one that everyone seems so excited about gema-4-31b-it, so let us discuss this one. 

How Much Does a Local AI Really Cost a SMB Business?

The true cost of such a local AI depends heavily on the computer hardware you already own, as the software itself can run for free. You generally need a very good computer from 2025 with a powerful graphics card to run a local AI smoothly. Unfortunately, this is not the sort of computer that retailers tend to buy for their shops. For example, a standard shop PC used just for scanning barcodes does not work for local AI. The computers that can run these models are more like the gaming computers that kids buy. If such a computer is already part of your normal business operations, then the local AI is effectively free. However, if you have to buy a $3,000 gaming computer just for the office, the cost isn't worth it.

Moreover, the next problem is the technical knowledge required to set it up properly. Based on my conversations with people who have done it, it is not hard, but they all already had a lot of computer skills.

Finally, you must remember that cost is not only about money leaving the bank account. If the owner spends three hours trying to fix a local AI model after a software update, the real cost is management time. For example, those three hours could have gone into merchandising shelves, ordering new stock, or supervising floor staff.

What Does an Online AI Cost a Business?

An online AI costs a predictable monthly subscription fee, usually starting at $30-$35. For example, a retailer can pay a flat $35 fee to ChatGPT and get instant access to the smartest models available.

This monthly fee gives you access to massive supercomputers without needing to buy one yourself. If you are a heavy user, however, it can cost much more because most online AI companies have strict limitations on how much you can use them per day. For example, one of our users, after writing 50 product descriptions in one morning, hit a limit and was locked out for a while. Because of these usage limits, many serious AI users end up having two different accounts. This means we are looking at about $65 a month to ensure the business never gets interrupted.

Cost is not just cash; it is also your time. 

Is Online AI Easier for an SMB Business?

Online AI is definitely easier to use for a small retail business because the AI company handles all the technical background work. For example, a retailer can sign up with an email address and start writing an advertisement almost immediately. They are designed to be almost trivial to set up and use for the average user. Most of them offer free plans you can set up to test, so the risks are very small. For example, a shop owner can use a free online plan to write a quick Facebook post without entering a credit card.

Moreover, because these tools are so popular, finding help is incredibly simple. Most computer-literate people know how to use them, so it is easy to get staff or friends to help you if you get stuck.

Ease of use drives adoption. If software is hard to use, we will all ignore it.

How Fast Is Local AI Compared with Online AI?

Local AI is often painfully slow to use compared to the near-instant speeds of an online AI service. Even with a good computer, you do not have a supercomputer. For example, when asking a local AI to write a complicated refund policy, you might literally wait minutes for it to type out the words. This speed point should be considered very carefully by anyone who is busy. I ran tests on a $6,000 computer, and even after an online AI had given me an answer, I was still waiting for the local AI to finish. For short answers, local AI was perfectly fine. But when I asked questions that required a long answer, I ended up making coffee while I waited. This slowness makes certain tasks unusable. If you are dealing with a long, complex legal problem, like a rental agreement, where you need to ask 20 different questions back-to-back, the waiting time makes it unusable. What am I supposed to have 20 cups of coffee?

Size of question

A main problem is that local AI cannot handle as big reports as online AI. This is a real problem if you want to run with a lots of information.

What Are the Privacy and Security Trade-Offs?

The main privacy trade-off is that online AI sends your data to the internet, whereas local AI keeps it on your machine. For example, if you feed your profit margins into a local AI, that highly sensitive data is going nowhere. Data security is one of the biggest concerns for SMB retailers right now. When using an online AI service, you have to ask yourself: where is this information going? For example, if you paste a customer's private address into an online AI to format a shipping label, that data is now stored on a foreign server. You must consider who can access this information and what damage it could cause if it falls into the wrong hands. A local AI solves this completely by keeping the information inside your computer.

Privacy is local AI's biggest strength. Your data never leaves your computer.

How Good Is the Quality of Information from AI?

The overall quality of information from a local AI is excellent and often just as good as that of an online AI. For example, when asking a local AI to explain a tricky accounting term, it provided me with a deep, accurate answer.

Then I fed a local AI several long, highly difficult tests and was very impressed by the depth and quality of the information it provided. Overall, I found the answers to be good, and often better, than those from an online AI service.

Having a smart AI locally means you get top-tier brainpower without paying a subscription. However, there are two major problems retailers must watch for in the quality of this information.

How Current Is the Update Information?

This is the most important problem: a local AI's knowledge depends on its date of manufacture. Here, Google trained it up to January 2025; as such, it knows absolutely nothing about the recent RBA surcharge ban. It also does not know the local prices of the products I asked about. In business, one often needs the most up-to-date information. Well, you cannot get such answers here. What you need is a plugin that is very slow in use.

For SMB businesses, this lack of current events makes a local AI impractical for many uses. This is why I do not believe a local AI is a total solution.

AI Hallucinations

An AI hallucination is when the AI goes crazy and confidently makes up nonsense. One of the biggest problems with AI is that, when asked a question, it can simply make up answers. It happens with any AI, and with the state of today's technology, you have to check the answers yourself manually. While I would not say that in my tests, "local AI hallucinates more", it definitely had fewer safety checks. This is because online AI companies have gone to great lengths to address this problem.

You need to check the local AI much more carefully. There is an old warning about free advice: if it is free, you'd better check it.

How Can Local AI Work With Your POS System?

I found that local AI can easily process and analyse daily reports, as long as they are small and generated by your POS software. For example, I exported a few weekly sales reports and fed them directly into the local AI to identify which items are selling best. I specifically wanted to know how this technology handles raw retail data. I had absolutely no trouble doing so, and I was incredibly impressed with the quality of the information that I got back. The local AI instantly read the numbers, spotted the trends, and gave me a clear summary of what was happening in the shop. For example, the AI correctly noticed that umbrellas sold rapidly yesterday and suggested I move them to the front counter.

For this specific job of crunching numbers, I consider the local AI comparable to the paid online service. It will allow you to get free deep insights from a Point of Sale (POS) system without ever uploading your private sales figures to the internet.

Should an SMB Business Use a Hybrid AI Setup?

A hybrid setup is when a business uses both a local AI and a free online AI simultaneously. For example, a shop might use a private local model to read their financial reports, and a free online service to look up current news.

Because many online AI tools offer free plans, many SMBs want to try both. You may consider it, although it is much messier as you need to manage two systems.

Moreover, for many, it is clearly an attractive idea. You keep your privacy when required, while still using online AI when you need web access, faster speeds, or fresher information.

It will work if you are clever. What you might do is go to an online service and ask it, "What factors are important for reviewing a commercial lease?" Now, you get the answer, put it into a local AI, and say, "Based on this online output, what do you think of my private lease document?" It will work, but it's not a good solution as there is always more to consider.

Where Does Each AI Fit Best in Retail?

We were all very impressed with the quality of local AI information, but this is really a decision about the correct fit.

First, for most SMBs, an online AI is a better starting point. It is simply easier, faster, and much more polished for beginners.

Moreover, local AI makes perfect sense when you already have the gaming-style hardware, care strongly about your privacy, and are happy to spend more time.

Where online AI usually fits best

• Marketing campaigns and seasonal store promotions.
• Finding current product information from suppliers.
• Researching current events and news.
• Asking general legal or business questions.

Where local AI usually fits best

• Writing internal notes and staff procedures.
• Sensitive drafting that should stay only with you.
• Repetitive writing on a machine you already own.
• Use cases where avoiding monthly fees matters more than fast speed.
• Processing private financial reports.
• Analysing reports from a pos system.
• Customer communication and email drafting.

Conclusion: Making the Right AI Choice

Ultimately, you do not have to choose the most famous AI; you have to choose the one that makes your retail life easier. If you want instant help with marketing and do not mind a small monthly fee, online AI is your best bet.

However, if you want to analyse sensitive reports from your pos system and already have a strong computer, local AI is an incredibly powerful, free tool. Take a look at your shop's daily tasks, try out a free online plan to get a feel for it, and then decide if bringing the brainpower locally is worth the setup time.

Experiment further

If you want to experiment on your computer, visit LM Studio and download a copy. You can find instructions on how to get started there. There’s also a mobile version available on Google Play, which is handy if you’re somewhere without internet access.

To run a decent AI in LM Studio, you'll need a computer with sufficient video memory (VRAM) to process AI models smoothly. For instance, if you want an AI to securely analyse offline sales data from your Point of Sale (POS) system, you need at least an 8 GB NVIDIA graphics card, the more the better, my VRAM is 64GB, and it's slow. Next, your system RAM needs about 32 GB and using an SSD would be good to ensure the AI remembers long conversations without lagging. 

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Today, many shops are losing customers because shoppers now look online before shopping. What you need to do is review your local online presence. Then fix the biggest issues, and make your shop easier to find.

Key Takeaways Box

• Conducting a local online audit to show you what customers see when they search for you.
• Use private or incognito search. This is as it provides a clearer view of what customers see.
• An incorrect business name, address, or phone number will confuse shoppers and search engines.
• A Google Business Profile helps your shop appear in Google Search and Google Maps.
• An incorrect location can lead customers to the wrong shop, so you should test directions yourself.
• Some simple tricks can help Google and shoppers know what you sell.

What Is a Local Web Presence Audit?

A local web presence audit is a simple check of how your shop appears online. For example, a customer might search for "lotto near me", "dog food <suburb>", or "magazines <suburb>" before deciding where to shop.

Next, this audit looks beyond your website. For example, it also checks your Google Business Profile, business name, address, phone number, social pages, map pin, and how your shop appears in search results.

Also, this kind of audit is not hard. For example, you can do it in less than half an hour with a phone, a computer, and a simple checklist.

Fact: wrong details lose sales.

Why Local Web Presence Matters

A local web presence matters because many shoppers often search first and visit second. For example, if they need a card, magazine, gift, or stationery item quickly, they usually look online before they leave home.

Next, local SEO works best when your business details are clear and consistent across the web. For example, if your shop name is one thing on Google and another thing on Facebook, search engines can get mixed signals.

Also, your online details shape trust. For example, if something looks wrong, for example, your address looks wrong, many customers will choose another shop.

Clear local data builds trust.

Search for Your Shop Like a Real Customer

On a paper list note:

1. Your business type, e.g. newsagency, pet shop, chemist, etc.
2. Top three products you sell
3. Name of your shop
4. Phone number of your shop

Searching like a real customer means using the same words and search habits a shopper would. Since I mainly use Chrome, I tend to use Edge in private mode for this work, but in truth, Chrome in incognito mode works well too. This helps reduce the effect of my online usage.

You need to do the Local Web Presence Audit in four stages:

1. With your computer using Google
2. With your computer using Bing
3. With your smartphone, using Google
4. With your smartphone, using Bing

Smartphone results can differ from computer results, and it's about 50/50 which shoppers will use.

For each stage:

Put your business type into the search and add your suburb, e.g., "gift shop <your suburb>" or "Flower shop near me", etc.

Check what you see, note whether your shop shows up, and whether what the search says about you is correct.

Now search for the top three products you sell, e.g. you may say "lotto near me", "dog food near me", "butcher <your suburb>".

Check what you see, note whether your shop shows up, and whether what the search says about you is correct.

After that, search your exact business name on its own. For example, this shows whether your main listing is easy to find and whether old pages, old addresses, or other shops appear instead. Check spelling, punctuation, and the trading name. For example, if one listing says "Smith's Newsagency" and another says "Smiths News & Gifts", you may be making it harder for search engines to connect the dots.

How Do I Check My Google Business Profile and Map Pin?

In my experience, most problems stem from errors in your Google Business Profile. Your Google Business Profile is one of the most important local listings you have because it helps your business appear in Google Search and Google Maps. For example, when someone searches for a nearby shop, the map result often shapes the visit before the website does. I have discussed how to set it up and fix it here.

https://www.possolutions.com.au/blog/boost-your-shop-sales-with-google-business-profile

A modern business needs to have this right. Fix any errors straight away. For example, if the pin is off, move it to your real front door and check that the address matches what appears on your website.

A map pin can make or break a visit.

Finally, also important to look at your business category and photos. For example, good categories and fresh shopfront photos help customers understand what you sell before they visit. Use your POS system's sales reports to make sure that all your major stock items are listed.

How Do I Review My Facebook and Social Media Pages?

Your social media pages should support your local search presence and help shoppers trust your shop. For example, when someone searches your business name, a good Facebook page can confirm that your store is active and real.

Next, ensure your business details match across all platforms. For example, your Facebook page, Instagram bio, and website should all show the same name, address, phone number, and web link.

Then, look at your last ten posts. For example, if the page has been quiet for six months, it may make shoppers think the business is not active.

Also, post what people buy. For example, show new stock, seasonal products, popular gifts, school supplies, card displays, or shopfront photos.

After that, make your posts useful. For example, short posts like "New puzzle books in store now" or "Mother's Day cards now available" can turn a search into a visit.

Finally, check your contact buttons. For example, a customer should be able to call, message, or get directions with one tap.

How Do I Check My Competitors Online?

Checking your competitors online helps you see what local shoppers see first and what people are looking for now. For example, if three nearby shops appear before you for the same product search, you need to know why.

Next, search the same phrases and note who shows up. For example, look at their Google listings, photos, reviews, website pages, and social media activity.

Then, look for patterns. For example, they may use clearer category names, better shopfront photos, or better local wording than you do.

Also, copy the structure, but not the wording. If it's working for them, it can work for you too.

Conclusion

A local web audit is a simple way to make your shop easier to find. When shoppers search online, they need to see the right name, the right products, and the right location without confusion.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

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What I said a few days ago, looking at the RBA's 2026 surcharge reform, was that “the big banks... are certainly winners,” even though many said it looked negative for their fee income so disputed my claim. Here are some interesting charts of Bank Shares over the past few days. The RBA decision was announced on 31 March, and all the big banks’ share prices have been up since then. Check them out here, the RBA decision was on 31st March. Can anyone name any major reason for these price rises in this period other than the RBA decision?

Key takeaways

• The RBA’s March 2026 conclusions paper confirmed a ban on surcharges from 1 October 2026.
• The same package also includes lower interchange fees and stronger transparency rules.
• The announcement looked negative for bank fee income on the surface.
• Major bank shares still rose after the RBA announcement.
• That market move suggests investors may have expected a worse outcome.
• Retailers still need to prepare for the loss of visible card surcharges at checkout.
• POS reporting and merchant fee review will matter more once the ban starts.

What is the 2026 RBA surcharge ban?

The 2026 RBA surcharge ban is a payments reform that ends card surcharges on debit and credit card transactions from 1 October 2026, while also lowering some interchange fee caps and improving fee transparency. The RBA set out that direction in its March 2026 conclusions paper after consultation.

First, this was not just a loose discussion. It was the RBA’s final public position at that stage, and the market treated it as a concrete policy decision. A retailer that once added a 1.5 percent surcharge at the terminal will need to remove that charge and rethink how it recovers payment costs.

Why did bank shares rise?

Bank shares rose because the market likely saw the final package as less damaging than feared. When investors hear a reform that could cut fee income, they do not only ask whether it is negative; they also ask whether it is better or worse than what they had already priced in.

Next, that matters a lot. If traders expected a harsher crackdown on bank and payments revenue, then a more limited package can still push shares higher. In other words, a “bad” policy can still lift shares if it was not as bad as the market feared.

Why did the reaction look odd?

The reaction looked odd because the announcement clearly affected fee income, yet the bank sector still went up after the news. The investors did not read the reform as a disaster.

Moreover, this is where the story gets interesting. If the RBA’s package had really threatened bank earnings in a major way, you would expect a much clearer negative market response. Instead, the share price move implies investors either expected worse or believed the effect would be manageable.

What does the share move mean?

The share move may mean investors thought the banks could absorb the change. It may also mean the reform leaves the wider card system intact, which protects transaction volumes even if some fee settings are trimmed.

For example, a bank can lose some surcharge-related or interchange-related income and still look strong if card use remains high. That is why the market can treat the reform as a short-term negative but a longer-term non-event, or even a mild positive.

Why this matters for retailers

Retailers should not confuse a bank-share rally with a win for merchants. The fact that shares rose does not mean the reform automatically helps small shops.

Instead, the practical issue is that retailers lose a visible way to recover card costs. A shop that used to show a card surcharge at checkout will need another way to protect margin, whether through pricing, fee negotiation, or tighter cost control.

What changes at the checkout

The biggest change for retailers is the checkout experience. The surcharge line disappears, but the underlying payment cost does not.

That means retailers need to understand the full cost of taking cards, not just the visible fee passed to the customer. A POS system that shows payment-type sales, average transaction value, and card-cost impact becomes much more useful once surcharging is no longer available.

How to prepare

Retailers should review their merchant statements, terminal fees, and POS reports now. The goal is to know exactly what card acceptance costs before the October 2026 deadline.

Next steps

Clearly, we have questions about the RBA’s rationale for its decision, but the immediate point for retailers is that the stock market is not your main problem here. Your real issue is how to manage payment costs when you can no longer add a visible surcharge at checkout. The RBA decision should reduce bank fees, help alleviate some of the fee differences faced by small and large retailers, and provide greater transparency into bank fees.

Retailers should take four steps before 1 October 2026:

1. Review current merchant fees and terminal charges.
2. Check POS reporting for payment-method visibility.
3. Revisit pricing to make sure margins still hold.
4. Talk to payment providers about lower-cost alternatives or better fee transparency.

Prepare your shop for the 2026 RBA surcharge ban

Update:

Update:
Since the article first went live, it has become a hot topic. Several have questioned the link between the 2026 RBA surcharge ban and the rise in bank shares. That is a fair point, and it is worth explaining the facts in plain terms.

First, it is true that Suncorp’s share price fell during this period, which at first glance seems to contradict the idea that the RBA decision helped banks. But Suncorp is no longer a normal bank for most investors. Suncorp Group sold Suncorp Bank to ANZ in 2024, took the money, and later returned cash to shareholders. Today, the listed company is more of an insurance business than a bank, so its share move does not tell us much about investors saw the surcharge ban. 

Second, the good share reaction was not just in banks. Payment companies listed on the ASX, such as Tyro and SMP, also rose after the announcement.

Third, that the banks’ shares rose because of the better profit numbers they announced back in February and the interest‑rate move in March. That is true, they did rise, but here the timing is a problem. We are now in April, and those profit updates and the March rate move happened earlier. If those were the reasons, you would expect the share price lift to show up in February and March, not now in April. Instead, the rise lines up most closely with the announcement of the 2026 surcharge ban. Also you need to explain why investors reacted the same way to non‑bank companies in Debit and Credit Crads. Payments players like Tyro and SMP saw their shares rise too, even though they do not benefit from the same upside from bank‑style profits or rate changes.

Third, investors liked that the surcharge ban applies to both debit and credit card transactions from 1 October 2026. When the extra checkout fee disappears for both, customers have the same price whether they use debit or credit. That will make people more likely to use credit cards, because the “extra cost” they used to see is gone. This is what we stated in our submission here. More credit card use means higher fees. The investors would also have liked the bank's comments that new fees will need to be created or some fees will need to be increased to cover the loss.

All of this does not weaken the article’s original point. It just sharpens it. The investors see the final package as positive and manageable rather than a big hit.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.