Australian Payments Plus (AP+) has chosen Giesecke+Devrient (G+D) to create eftpos Click to Pay with integrated least-cost routing (LCR), marking a world first for online debit card payments.
Click to Pay enables consumers to make swift online purchases without the need to enter card details, utilizing a digital token instead. By incorporating Click to Pay with eftpos, merchants can transition away from expensive card scheme networks, automatically directing payments to the lowest-cost network.
A report from the Reserve Bank of Australia in April 2024 highlighted that merchants using LCR for debit card transactions see nearly 20% lower costs compared to those without it. While LCR is commonly enabled for in-store payments (70%) and is increasing for mobile wallets (30%), online guest checkout payments have typically not had this feature.
Adrian Lovney, Chief Payments and Schemes Officer at AP+, stated, “Click to Pay with eftpos combines the seamless, secure online checkout experience customers expect with the added benefit of least-cost routing, helping to reduce the cost of accepting payments.”
AP+ is collaborating with Google to implement eftpos functionality and LCR for transactions made via Google Wallet, with ANZ and Suncorp being the first issuers to go live. Lovney mentioned that the program is set for a broader rollout in 2026.