Latest news with #PaymentsNZ
Scoop
30-05-2025
- Business
- Scoop
Another Milestone For Industry-Led Open Banking In Aotearoa New Zealand
Press Release – Payments NZ Open banking in Aotearoa New Zealand is taking a major leap forward, with the four largest banks, ANZ, ASB, BNZ and Westpac NZ, implementing another key industry standard that enables payments service providers and fintechs to offer new, more flexible payment options to their customers. Version 2.3 of the Payment Initiation API standard for open banking, developed by Payments NZ's API Centre, is due for implementation today, marking the third milestone under the industry's minimum open banking implementation plan. The most significant upgrade in this standard is the introduction of mandatory support for enduring payment consent – a critical function sought by the industry. Enduring payment consent allows customers to make repeat payments automatically from their own account through third-party services, authorised through their online banking app or portal. Customers can authorise payments to happen automatically under a set limit. If a charge comes through above the limit, a notification alerts the customer to review and approve the payment before it goes through. The API Centre is currently working with the four banks to confirm final implementation. Kiwibank is also on track to implement the standard ahead of a separate milestone date, at the end of May 2026. Phil Cass, Payments NZ's API Centre Manager, says the new standard is a 'game changer' that puts Aotearoa ahead of international peers in open banking. 'Having this latest version of the standard across our four biggest banks is a big step forward for industry participants who want to offer new and improved payments experiences for customers,' Cass says. 'We are proud of the API Centre's work and seeing the industry collaborate to deliver the latest payments initiation standard which reflects global best practice while being tailored to meet the needs of Aotearoa. 'This is a significant step forward that supports new innovation and makes world-class open banking a reality for New Zealanders,' Cass adds. The implementation milestone comes as MBIE prepares regulations for open banking under the Customer and Product Data Act, passed earlier this year. 'We see the Act as a positive step forward, and we're committed to working with MBIE to achieve a sustainable open banking ecosystem that finds the right balance between regulation and industry led ,' Cass says. 'Open banking is here, and customers are using it. We look forward to continuing to champion industry-led developments and building on the results it's delivering for Aotearoa.' The implementation milestone will feature in a broader API Centre celebration event in Auckland mid June, reflecting on six years of progress and highlighting what's next for open banking in Aotearoa under the emerging CPD framework. The event will also see the launch of Ngā Tohu Ārahi, the API Centre's Data Handling Guidelines – developed in partnership with Māori data experts and grounded in Māori Data Governance framework and principles. 'This is about more than a standard – it's about the evolution of an ecosystem,' says Cass. 'Together with banks, the wider industry, regulators and Māori data experts, we're helping shape the future of payments and data sharing in a way that reflects the values and priorities of Aotearoa.' For more information on open banking and the API Standards, please visit the API Centre website here. Note: What is open banking? Open banking is a system that lets customers safely share their financial data – like account balances and transaction history – with trusted third parties such as fintechs. It also enables customers to make payments directly from their bank accounts through these services. This is made possible through standardised Application Programming Interfaces (APIs), which act like secure digital bridges between banks and third parties. APIs allow different systems to talk to each other and exchange information in real time, within a safe, controlled environment. API standards are the backbone of open banking. They ensure that data is shared securely and transparently, with clear rules around customer consent, authentication, and privacy protection – putting customers in control of who can access their information and for what purpose. What is the payment initiation API standard? Jointly developed by the API Centre in collaboration with industry, the Payment Initiation API standard allows consumers to set up and make electronic payments by connecting directly and safely through a third party app or service to an API Provider, such as a bank. Instead of sharing login credentials, customers connect securely to their bank via an API – keeping their data private and the transaction protected. The four largest banks in Aotearoa – ANZ, ASB, BNZ and Westpac NZ – implemented version 2.1 of the standard ahead of an industry milestone set by Payments NZ in May last year, marking a major step forward in open banking readiness. What's new in the upgraded standard? Version 2.3 of the Payment Initiation API standard introduces several important upgrades that strengthen open banking capability and consistency across the ecosystem. For the first time, API Providers (banks) are required to support key functions that were previously optional – giving data requestors confidence that these features will be reliably available when integrating with banks. One of the most significant changes is the introduction of mandatory support for enduring payment consent. This allows customers to authorise repeat payments from their bank account to a third party under agreed limits – a potential modern alternative to direct debit, with greater transparency and control. Another major enhancement is mandatory support for decoupled authentication. This lets customers initiate an action on one device (like a laptop) and securely complete the payment authorisation on another (such as their banking app on a mobile phone), improving convenience and user experience. An overview of the v2.2 and v2.3 standards can be found here. Which third parties are using the payment initiation API? Five fintechs – BlinkPay, Qippay, Volley, Wych and Worldline – currently have contracts in place with one or more banks using either v2.1 or v2.3 of the standardised Payment Initiation API. There are a further 22 third parties registered with the API Centre who will be able to approach all four of the implementing banks to begin partnering discussions based on the v2.3 standard from 30 May onwards. What is the API Centre? Working with the industry (from banks to startups), Payments NZ's API Centre is co-designing the open banking future of Aotearoa, by creating the framework that will ensure fast, secure, user-friendly data sharing – for all New Zealanders. There are many open banking models around the world. Our framework creates a world-class foundation for businesses to provide leading, cost-effective products and services and give consumers confidence in how their data is accessed and shared. The API Centre is governed by an API Council made up of representatives from across the industry. The API Council fosters a self-governing API standards service, and all Council members are required to act in the best interests of the API Centre. What is the implementation plan? The API Centre first published its minimum open banking implementation plan in May 2023, and updated it in October 2024. It sets out timelines for the country's largest banks to be operationally and technically ready to partner using the API Centre's open banking standards. The Payments NZ Board and the API Council set the implementation plan after extensive industry consultation. Under the plan, ANZ, ASB, BNZ and Westpac NZ implemented the Payment Initiation v2.1 standard and Account Information v2.1 standard before deadlines in May and November 2024. These four banks have now implemented v2.3 of the Payment Initiation standard, and are due to implement v2.3 of the Account Information standard by 30 November this year. Kiwibank is also included in the plan, and has an implementation timeline to be live with the Payment Initiation and Account Information v2.3 standards in May and November 2026. About Payments NZ Payments NZ is the governance organisation at the centre of Aotearoa New Zealand's payments system. Established in 2010 with the endorsement of the Reserve Bank of New Zealand – Te Pūtea Matua, we manage and govern the country's core payments clearing and settlement systems to ensure they remain safe, efficient, interoperable, and fit for the future. We work in close partnership with industry to set the rules and standards that enable seamless payments between financial institutions, support API-enabled innovation through our API Centre, and lead strategic efforts to modernise and strengthen the payments ecosystem. In 2024, our systems processed over $8 trillion in retail and high-value payments. Our focus is on delivering world-class payments that support New Zealanders – today and for generations to come.
Scoop
29-05-2025
- Business
- Scoop
Another Milestone For Industry-Led Open Banking In Aotearoa New Zealand
Press Release – Payments NZ Version 2.3 of the Payment Initiation API standard for open banking, developed by Payments NZs API Centre, is due for implementation today, marking the third milestone under the industrys minimum open banking implementation plan. Open banking in Aotearoa New Zealand is taking a major leap forward, with the four largest banks, ANZ, ASB, BNZ and Westpac NZ, implementing another key industry standard that enables payments service providers and fintechs to offer new, more flexible payment options to their customers. Version 2.3 of the Payment Initiation API standard for open banking, developed by Payments NZ's API Centre, is due for implementation today, marking the third milestone under the industry's minimum open banking implementation plan. The most significant upgrade in this standard is the introduction of mandatory support for enduring payment consent – a critical function sought by the industry. Enduring payment consent allows customers to make repeat payments automatically from their own account through third-party services, authorised through their online banking app or portal. Customers can authorise payments to happen automatically under a set limit. If a charge comes through above the limit, a notification alerts the customer to review and approve the payment before it goes through. The API Centre is currently working with the four banks to confirm final implementation. Kiwibank is also on track to implement the standard ahead of a separate milestone date, at the end of May 2026. Phil Cass, Payments NZ's API Centre Manager, says the new standard is a 'game changer' that puts Aotearoa ahead of international peers in open banking. 'Having this latest version of the standard across our four biggest banks is a big step forward for industry participants who want to offer new and improved payments experiences for customers,' Cass says. 'We are proud of the API Centre's work and seeing the industry collaborate to deliver the latest payments initiation standard which reflects global best practice while being tailored to meet the needs of Aotearoa. 'This is a significant step forward that supports new innovation and makes world-class open banking a reality for New Zealanders,' Cass adds. The implementation milestone comes as MBIE prepares regulations for open banking under the Customer and Product Data Act, passed earlier this year. 'We see the Act as a positive step forward, and we're committed to working with MBIE to achieve a sustainable open banking ecosystem that finds the right balance between regulation and industry led ,' Cass says. 'Open banking is here, and customers are using it. We look forward to continuing to champion industry-led developments and building on the results it's delivering for Aotearoa.' The implementation milestone will feature in a broader API Centre celebration event in Auckland mid June, reflecting on six years of progress and highlighting what's next for open banking in Aotearoa under the emerging CPD framework. The event will also see the launch of Ngā Tohu Ārahi, the API Centre's Data Handling Guidelines – developed in partnership with Māori data experts and grounded in Māori Data Governance framework and principles. 'This is about more than a standard – it's about the evolution of an ecosystem,' says Cass. 'Together with banks, the wider industry, regulators and Māori data experts, we're helping shape the future of payments and data sharing in a way that reflects the values and priorities of Aotearoa.' For more information on open banking and the API Standards, please visit the API Centre website here. Note: What is open banking? Open banking is a system that lets customers safely share their financial data – like account balances and transaction history – with trusted third parties such as fintechs. It also enables customers to make payments directly from their bank accounts through these services. This is made possible through standardised Application Programming Interfaces (APIs), which act like secure digital bridges between banks and third parties. APIs allow different systems to talk to each other and exchange information in real time, within a safe, controlled environment. API standards are the backbone of open banking. They ensure that data is shared securely and transparently, with clear rules around customer consent, authentication, and privacy protection – putting customers in control of who can access their information and for what purpose. What is the payment initiation API standard? Jointly developed by the API Centre in collaboration with industry, the Payment Initiation API standard allows consumers to set up and make electronic payments by connecting directly and safely through a third party app or service to an API Provider, such as a bank. Instead of sharing login credentials, customers connect securely to their bank via an API – keeping their data private and the transaction protected. The four largest banks in Aotearoa – ANZ, ASB, BNZ and Westpac NZ – implemented version 2.1 of the standard ahead of an industry milestone set by Payments NZ in May last year, marking a major step forward in open banking readiness. What's new in the upgraded standard? Version 2.3 of the Payment Initiation API standard introduces several important upgrades that strengthen open banking capability and consistency across the ecosystem. For the first time, API Providers (banks) are required to support key functions that were previously optional – giving data requestors confidence that these features will be reliably available when integrating with banks. One of the most significant changes is the introduction of mandatory support for enduring payment consent. This allows customers to authorise repeat payments from their bank account to a third party under agreed limits – a potential modern alternative to direct debit, with greater transparency and control. Another major enhancement is mandatory support for decoupled authentication. This lets customers initiate an action on one device (like a laptop) and securely complete the payment authorisation on another (such as their banking app on a mobile phone), improving convenience and user experience. An overview of the v2.2 and v2.3 standards can be found here. Which third parties are using the payment initiation API? Five fintechs – BlinkPay, Qippay, Volley, Wych and Worldline – currently have contracts in place with one or more banks using either v2.1 or v2.3 of the standardised Payment Initiation API. There are a further 22 third parties registered with the API Centre who will be able to approach all four of the implementing banks to begin partnering discussions based on the v2.3 standard from 30 May onwards. What is the API Centre? Working with the industry (from banks to startups), Payments NZ's API Centre is co-designing the open banking future of Aotearoa, by creating the framework that will ensure fast, secure, user-friendly data sharing – for all New Zealanders. There are many open banking models around the world. Our framework creates a world-class foundation for businesses to provide leading, cost-effective products and services and give consumers confidence in how their data is accessed and shared. The API Centre is governed by an API Council made up of representatives from across the industry. The API Council fosters a self-governing API standards service, and all Council members are required to act in the best interests of the API Centre. What is the implementation plan? The API Centre first published its minimum open banking implementation plan in May 2023, and updated it in October 2024. It sets out timelines for the country's largest banks to be operationally and technically ready to partner using the API Centre's open banking standards. The Payments NZ Board and the API Council set the implementation plan after extensive industry consultation. Under the plan, ANZ, ASB, BNZ and Westpac NZ implemented the Payment Initiation v2.1 standard and Account Information v2.1 standard before deadlines in May and November 2024. These four banks have now implemented v2.3 of the Payment Initiation standard, and are due to implement v2.3 of the Account Information standard by 30 November this year. Kiwibank is also included in the plan, and has an implementation timeline to be live with the Payment Initiation and Account Information v2.3 standards in May and November 2026. About Payments NZ Payments NZ is the governance organisation at the centre of Aotearoa New Zealand's payments system. Established in 2010 with the endorsement of the Reserve Bank of New Zealand – Te Pūtea Matua, we manage and govern the country's core payments clearing and settlement systems to ensure they remain safe, efficient, interoperable, and fit for the future. We work in close partnership with industry to set the rules and standards that enable seamless payments between financial institutions, support API-enabled innovation through our API Centre, and lead strategic efforts to modernise and strengthen the payments ecosystem. In 2024, our systems processed over $8 trillion in retail and high-value payments. Our focus is on delivering world-class payments that support New Zealanders – today and for generations to come.
Scoop
29-05-2025
- Business
- Scoop
Another Milestone For Industry-Led Open Banking In Aotearoa New Zealand
Open banking in Aotearoa New Zealand is taking a major leap forward, with the four largest banks, ANZ, ASB, BNZ and Westpac NZ, implementing another key industry standard that enables payments service providers and fintechs to offer new, more flexible payment options to their customers. Version 2.3 of the Payment Initiation API standard for open banking, developed by Payments NZ's API Centre, is due for implementation today, marking the third milestone under the industry's minimum open banking implementation plan. The most significant upgrade in this standard is the introduction of mandatory support for enduring payment consent – a critical function sought by the industry. Enduring payment consent allows customers to make repeat payments automatically from their own account through third-party services, authorised through their online banking app or portal. Customers can authorise payments to happen automatically under a set limit. If a charge comes through above the limit, a notification alerts the customer to review and approve the payment before it goes through. The API Centre is currently working with the four banks to confirm final implementation. Kiwibank is also on track to implement the standard ahead of a separate milestone date, at the end of May 2026. Phil Cass, Payments NZ's API Centre Manager, says the new standard is a 'game changer' that puts Aotearoa ahead of international peers in open banking. 'Having this latest version of the standard across our four biggest banks is a big step forward for industry participants who want to offer new and improved payments experiences for customers,' Cass says. 'We are proud of the API Centre's work and seeing the industry collaborate to deliver the latest payments initiation standard which reflects global best practice while being tailored to meet the needs of Aotearoa. 'This is a significant step forward that supports new innovation and makes world-class open banking a reality for New Zealanders,' Cass adds. The implementation milestone comes as MBIE prepares regulations for open banking under the Customer and Product Data Act, passed earlier this year. 'We see the Act as a positive step forward, and we're committed to working with MBIE to achieve a sustainable open banking ecosystem that finds the right balance between regulation and industry led ,' Cass says. 'Open banking is here, and customers are using it. We look forward to continuing to champion industry-led developments and building on the results it's delivering for Aotearoa.' The implementation milestone will feature in a broader API Centre celebration event in Auckland mid June, reflecting on six years of progress and highlighting what's next for open banking in Aotearoa under the emerging CPD framework. The event will also see the launch of Ngā Tohu Ārahi, the API Centre's Data Handling Guidelines – developed in partnership with Māori data experts and grounded in Māori Data Governance framework and principles. 'This is about more than a standard – it's about the evolution of an ecosystem,' says Cass. 'Together with banks, the wider industry, regulators and Māori data experts, we're helping shape the future of payments and data sharing in a way that reflects the values and priorities of Aotearoa.' For more information on open banking and the API Standards, please visit the API Centre website here. Note: What is open banking? Open banking is a system that lets customers safely share their financial data – like account balances and transaction history – with trusted third parties such as fintechs. It also enables customers to make payments directly from their bank accounts through these services. This is made possible through standardised Application Programming Interfaces (APIs), which act like secure digital bridges between banks and third parties. APIs allow different systems to talk to each other and exchange information in real time, within a safe, controlled environment. API standards are the backbone of open banking. They ensure that data is shared securely and transparently, with clear rules around customer consent, authentication, and privacy protection – putting customers in control of who can access their information and for what purpose. What is the payment initiation API standard? Jointly developed by the API Centre in collaboration with industry, the Payment Initiation API standard allows consumers to set up and make electronic payments by connecting directly and safely through a third party app or service to an API Provider, such as a bank. Instead of sharing login credentials, customers connect securely to their bank via an API – keeping their data private and the transaction protected. The four largest banks in Aotearoa – ANZ, ASB, BNZ and Westpac NZ – implemented version 2.1 of the standard ahead of an industry milestone set by Payments NZ in May last year, marking a major step forward in open banking readiness. What's new in the upgraded standard? Version 2.3 of the Payment Initiation API standard introduces several important upgrades that strengthen open banking capability and consistency across the ecosystem. For the first time, API Providers (banks) are required to support key functions that were previously optional – giving data requestors confidence that these features will be reliably available when integrating with banks. One of the most significant changes is the introduction of mandatory support for enduring payment consent. This allows customers to authorise repeat payments from their bank account to a third party under agreed limits – a potential modern alternative to direct debit, with greater transparency and control. Another major enhancement is mandatory support for decoupled authentication. This lets customers initiate an action on one device (like a laptop) and securely complete the payment authorisation on another (such as their banking app on a mobile phone), improving convenience and user experience. An overview of the v2.2 and v2.3 standards can be found here. Which third parties are using the payment initiation API? Five fintechs – BlinkPay, Qippay, Volley, Wych and Worldline – currently have contracts in place with one or more banks using either v2.1 or v2.3 of the standardised Payment Initiation API. There are a further 22 third parties registered with the API Centre who will be able to approach all four of the implementing banks to begin partnering discussions based on the v2.3 standard from 30 May onwards. What is the API Centre? Working with the industry (from banks to startups), Payments NZ's API Centre is co-designing the open banking future of Aotearoa, by creating the framework that will ensure fast, secure, user-friendly data sharing – for all New Zealanders. There are many open banking models around the world. Our framework creates a world-class foundation for businesses to provide leading, cost-effective products and services and give consumers confidence in how their data is accessed and shared. The API Centre is governed by an API Council made up of representatives from across the industry. The API Council fosters a self-governing API standards service, and all Council members are required to act in the best interests of the API Centre. What is the implementation plan? The API Centre first published its minimum open banking implementation plan in May 2023, and updated it in October 2024. It sets out timelines for the country's largest banks to be operationally and technically ready to partner using the API Centre's open banking standards. The Payments NZ Board and the API Council set the implementation plan after extensive industry consultation. Under the plan, ANZ, ASB, BNZ and Westpac NZ implemented the Payment Initiation v2.1 standard and Account Information v2.1 standard before deadlines in May and November 2024. These four banks have now implemented v2.3 of the Payment Initiation standard, and are due to implement v2.3 of the Account Information standard by 30 November this year. Kiwibank is also included in the plan, and has an implementation timeline to be live with the Payment Initiation and Account Information v2.3 standards in May and November 2026. About Payments NZ Payments NZ is the governance organisation at the centre of Aotearoa New Zealand's payments system. Established in 2010 with the endorsement of the Reserve Bank of New Zealand – Te Pūtea Matua, we manage and govern the country's core payments clearing and settlement systems to ensure they remain safe, efficient, interoperable, and fit for the future. We work in close partnership with industry to set the rules and standards that enable seamless payments between financial institutions, support API-enabled innovation through our API Centre, and lead strategic efforts to modernise and strengthen the payments ecosystem. In 2024, our systems processed over $8 trillion in retail and high-value payments. Our focus is on delivering world-class payments that support New Zealanders – today and for generations to come.
Scoop
25-05-2025
- Business
- Scoop
Payments NZ Forcing The World's Most Aggressive Removal Of EFTPOS Terminals, Says EDANZ
Press Release – EDANZ Payments NZ is demanding that 19,000 EFTPOS terminals be scrapped by 30 April 2026despite these same PCI PTS v4.x devices being certified and secure for use in all countries including Australia for example until 31 December 2033, a full 6.5 years longer. Payments New Zealand is enforcing the most extreme and aggressive removal of EFTPOS terminals anywhere in the world, according to the EFTPOS Dealers Association of New Zealand (EDANZ). The association is calling out Payments NZ for pushing end-of-life (sunset) dates 5 to 7 years earlier than any comparable jurisdictions globally – including the PCI Security Standards Committee the world wide governing body, plus Australia, the United States, and all G7 nations. 'Perfectly Secure Devices Are Being Thrown Out' Payments NZ is demanding that 19,000 EFTPOS terminals be scrapped by 30 April 2026—despite these same PCI PTS v4.x devices being certified and secure for use in all countries including Australia for example until 31 December 2033, a full 6.5 years longer. COST to Business – Over $14 Million And it's not an isolated event. Between 2023 and mid-2024, 60,000 v3.x devices were forced into early retirement here in New Zealand. Globally, those exact devices are still approved for use in other countries right now and until 2030. COST to Business – Over $45 Million Looking ahead, another bombshell looms. In 2029, Payments NZ has planned the forced sunset of 90,000 v5.x EFTPOS terminals—60,000 of which were only just installed as part of the previous device purge. These same v5.x models are still being sold in New Zealand as compliant, and will remain in use overseas until 2036. COST to Business – Over $70 Million 'No Other Country in the World is Doing This' – EDANZ EDANZ has, after extensive research, found no other international regulatory body enforcing this level of premature terminal retirement. Identical EFTPOS models are still approved in all G7 countries and Australia for 5 to 7 years longer than in New Zealand. 'This policy is not just aggressive—it's reckless,' says Steve Batey, Chairman of EDANZ. 'It's wasteful, anti-business and completely misaligned with global best practices.' Outdated Rules and No Oversight EDANZ also claim Payments NZ are using 12-year-old guidelines (as per their own admission) that has not been updated in line with global security improvements. As a company owned by New Zealand's eight major banks, Payments NZ functions like a quasi-regulator/governing body but EDANZ believe they operate without the appropriate government oversight in this area. 'They are not even following their own rules,' Batey says. 'These guidelines are outdated, unfit for purpose, and massively out of step with the rest of the world.' This Policy is Costing Everyone – and these costs will land with Consumers These repeated, premature replacement cycles from 2023 through to 2029 and beyond will impose enormous, compounding capital costs on industry, which are ultimately passed down to small businesses and consumers. EDANZ argues that a common-sense, globally aligned approach is needed where devices are replaced as per world-wide guidelines. Replacement via organic churn, with wear and tear, business closure, or demand for new features, also Non Deployment dates that stop older terminal being recycled – That should be enough say EDANZ. 'This is not only bad economics—it's an environmental disaster,' Batey adds, pointing to the increasing volume of EFTPOS devices being sent to landfill as e-waste, many of them still perfectly functional. EDANZ Calls for Immediate Government Intervention EDANZ has submitted a formal complaint to Payments NZ and filed evidence with Government Ministers Scott Simpson (Minister of Commerce) and David Seymour (Minister of Regulation), urging immediate action. The association is demanding that the Commerce Commission, the Reserve Bank, and other government departments be granted formal oversight of Payments NZ moving forward. 'The banks cannot be allowed to make self-serving decisions that burden the rest of New Zealand,' Batey states. 'The current system is broken. This needs fixing—now.'
Scoop
25-05-2025
- Business
- Scoop
Payments NZ Forcing The World's Most Aggressive Removal Of EFTPOS Terminals, Says EDANZ
Payments New Zealand is enforcing the most extreme and aggressive removal of EFTPOS terminals anywhere in the world, according to the EFTPOS Dealers Association of New Zealand (EDANZ). The association is calling out Payments NZ for pushing end-of-life (sunset) dates 5 to 7 years earlier than any comparable jurisdictions globally - including the PCI Security Standards Committee the world wide governing body, plus Australia, the United States, and all G7 nations. "Perfectly Secure Devices Are Being Thrown Out" Payments NZ is demanding that 19,000 EFTPOS terminals be scrapped by 30 April 2026—despite these same PCI PTS v4.x devices being certified and secure for use in all countries including Australia for example until 31 December 2033, a full 6.5 years longer. COST to Business – Over $14 Million And it's not an isolated event. Between 2023 and mid-2024, 60,000 v3.x devices were forced into early retirement here in New Zealand. Globally, those exact devices are still approved for use in other countries right now and until 2030. COST to Business – Over $45 Million Looking ahead, another bombshell looms. In 2029, Payments NZ has planned the forced sunset of 90,000 v5.x EFTPOS terminals—60,000 of which were only just installed as part of the previous device purge. These same v5.x models are still being sold in New Zealand as compliant, and will remain in use overseas until 2036. COST to Business – Over $70 Million 'No Other Country in the World is Doing This' – EDANZ EDANZ has, after extensive research, found no other international regulatory body enforcing this level of premature terminal retirement. Identical EFTPOS models are still approved in all G7 countries and Australia for 5 to 7 years longer than in New Zealand. "This policy is not just aggressive—it's reckless," says Steve Batey, Chairman of EDANZ. "It's wasteful, anti-business and completely misaligned with global best practices." Outdated Rules and No Oversight EDANZ also claim Payments NZ are using 12-year-old guidelines (as per their own admission) that has not been updated in line with global security improvements. As a company owned by New Zealand's eight major banks, Payments NZ functions like a quasi-regulator/governing body but EDANZ believe they operate without the appropriate government oversight in this area. 'They are not even following their own rules,' Batey says. 'These guidelines are outdated, unfit for purpose, and massively out of step with the rest of the world.' This Policy is Costing Everyone – and these costs will land with Consumers These repeated, premature replacement cycles from 2023 through to 2029 and beyond will impose enormous, compounding capital costs on industry, which are ultimately passed down to small businesses and consumers. EDANZ argues that a common-sense, globally aligned approach is needed where devices are replaced as per world-wide guidelines. Replacement via organic churn, with wear and tear, business closure, or demand for new features, also Non Deployment dates that stop older terminal being recycled – That should be enough say EDANZ. "This is not only bad economics—it's an environmental disaster," Batey adds, pointing to the increasing volume of EFTPOS devices being sent to landfill as e-waste, many of them still perfectly functional. EDANZ Calls for Immediate Government Intervention EDANZ has submitted a formal complaint to Payments NZ and filed evidence with Government Ministers Scott Simpson (Minister of Commerce) and David Seymour (Minister of Regulation), urging immediate action. The association is demanding that the Commerce Commission, the Reserve Bank, and other government departments be granted formal oversight of Payments NZ moving forward. 'The banks cannot be allowed to make self-serving decisions that burden the rest of New Zealand,' Batey states. 'The current system is broken. This needs fixing—now.'
