Payment Systems (Regulation) Act 1998
Variation to the Access Regimes for MasterCard and Visa Credit Card Systems
Pursuant to subsection 14(1) of the Payment Systems (Regulation) Act 1998 (the Act), the Reserve Bank of Australia determines to vary:
       I.            the Access Regime for the MasterCard credit card system, originally gazetted on 23 February 2004 (the MasterCard Access Regime) as set out in Attachment A; and
    II.            the Access Regime for the VISA credit card system, originally gazetted on 23 February 2004 (the Visa Access Regime) as set out in Attachment B,
in each case, as the Reserve Bank of Australia considers it is appropriate to do so having regard to the matters specified in subsection 14(1) of the Act.
In accordance with paragraph 14(7)(b) of the Act, the variation of each of the MasterCard Access Regime and the Visa Access Regime will come into force on 1 January 2015.
Signed
 
 
Glenn Stevens
Governor
Reserve Bank of Australia
15 December 2014 Attachment A – Variation of the MasterCard Access Regime 
1. Heading entitled “Access Regime”
After “Access Regime”, insert “for the MasterCard Credit Card System”.
2. Paragraph 2
After “Payment Systems (Regulation) Act 1998,”, delete “and” and insert “which is”.
After “referred to”, delete “as follows” and insert “in this Access Regime”.
3. Paragraph 3
After the definition of “credit card”, insert:
a “former specialist credit card institution” is an entity which, as at 31 December 2014, was an authorised deposit-taking institution that engaged in credit card issuing, credit card acquiring or both (within the meaning of Regulation 4 of the Banking Regulations 1966) and which did not otherwise conduct banking business within the meaning of section 5 of the Banking Act 1959;
After “a “specialist credit card institution” is”, insert “: (a)” and after “Banking Act 1959;”, insert “or (b) a former specialist credit card institution;”.
After “terms defined”, insert “or having a meaning” and delete “Payments” and insert “Payment”.
4. Paragraph 6
Delete the first bullet point and substitute “(a)”.
Delete the second bullet point and substitute “(b)”.
5. Paragraph 7
After “This Access Regime”, delete “comes” and insert “originally came”.
After “23 February 2004.”, insert “This Access Regime as amended comes into force on 1 January 2015.”
6. Heading entitled “Eligibility for participation”
Delete “for participation” and insert “to apply to participate in the Scheme”.
7. Paragraph 8
After “Any”, delete “person who is an” and after “deposit-taking institution”, insert “or former specialist credit card institution”.
Delete “Subject to paragraph 9, any criteria may be applied by the Scheme in assessing applications for participation in the Scheme in Australia.”
8. New paragraphs 9, 10 and 11
After paragraph 8, insert:
9.      The administrator of the Scheme may establish (through the rules of the Scheme or otherwise) any criteria for eligibility to apply to participate in the Scheme in Australia in respect of entities other than authorised deposit-taking institutions and former specialist credit card institutions (“eligibility criteria”), provided these eligibility criteria are reasonably related to the risks to the Scheme or its participants, merchants or cardholders that are likely to arise from the participation. If eligibility criteria are established they must be applied by the administrator of the Scheme in accordance with their terms.
10.    Any entity, other than an authorised deposit-taking institution or former specialist credit card institution, is eligible to apply to participate in the Scheme in Australia, provided the entity meets any eligibility criteria.
Assessment of applications to participate in the Scheme and terms of participation
11.    Subject to paragraphs 12 and 13, the administrator of the Scheme must establish (through the rules of the Scheme or otherwise) and apply criteria for assessing applications for participation in the Scheme in Australia by eligible applicants (“assessment criteria”).
9. Paragraph 9
Renumber as paragraph 12.
After “Neither the rules of the”, delete “Scheme nor any participant in the Scheme” and insert “Scheme, nor the administrator of or any participant in the Scheme,”.
After “a class and”, delete “other”.
After “deposit-taking institutions”, insert “other than specialist credit card institutions”.
After “as a class in”, delete “relation to any of the criteria applied in assessing applications for participation” and insert “establishing or applying assessment criteria”.
After “Scheme in Australia”, insert:
, except to the extent reasonably required to assess and address the risks to the Scheme or its participants, merchants or cardholders arising, or likely to arise, from the participation of the class of entity in the scheme in Australia.
13.    Without limiting paragraph 12, neither the rules of the Scheme, nor the administrator of or any participant in the Scheme, shall discriminate against an entity (or class of entity) in establishing or applying assessment criteria or in relation to the rights and obligations of participants in the Scheme in Australia, except to the extent reasonably required to assess and address the risks to the Scheme or its participants, merchants or cardholders arising, or likely to arise, from the participation of the entity (or class of entity) in the Scheme in Australia.
10. Heading entitled “Terms of participation”
Delete entire heading.
11. Paragraph 10
Renumber as paragraph 14.
Delete paragraph numbering “(i)”, “(ii)” and “(iii)” and substitute “(a)”, “(b)” and     “(c)” respectively.
12. Paragraphs 11 and 12
Renumber as paragraphs 15 and 16.
13. Heading entitled “Transparency”
After “Transparency”, insert “and assessment of applications”.
14. Paragraph 13
Renumber as paragraph 17.
After “of the Scheme”, delete “or a representative of the participants in the Scheme in Australia”.
After “must”, insert “continuously”.
After “publish”, delete “the criteria applied in assessing applications for participation in the Scheme in Australia on the Scheme’s website, or make such criteria generally available through other means within three months after this Access Regime comes into force” and insert:
on the Scheme’s website:
(a)     any eligibility criteria and the risks that the eligibility criteria seek to address;
(b)     the assessment criteria and the risks that the assessment criteria seek to address; and
(c)     the maximum time it will take to assess any application to participate in the Scheme in Australia before terms of participation will be proposed to the applicant or a decision on the application will be made.
15. Paragraph 14
Renumber as paragraph 18.
After “must provide to”, substitute “a person” with “an entity”.
After “the application before”, insert “terms of participation will be proposed to the applicant or”.
Renumber the last sentence as a new paragraph 19 and after “The administrator”, insert “of the Scheme”.
16. Paragraph 15
Renumber as paragraph 20.
After “must provide to”, substitute “a person” with “an entity”.
After the end of paragraph 15 (renumbered as paragraph 20), insert:
Certification and reporting
21.    The administrator of the Scheme must provide to the Reserve Bank on or before 31 July each year a certificate:
(a)     certifying, in respect of the twelve-month period ending on 30 June of that same year (the “reporting period”), that:
(i)      at all times during the reporting period the eligibility criteria and the assessment criteria were in compliance with this Access Regime;
(ii)     any applicant admitted to the Scheme during the reporting period met, at the time of admission, all risk-related eligibility and assessment criteria; and
(iii)    at all times during the reporting period it has otherwise complied with this Access Regime; and
(b)     listing all entities whose application to participate in the Scheme in Australia was either made during the reporting period or outstanding at the commencement of the reporting period and details for each entity (as applicable) of:
(i)      the date on which the application was made;
(ii)     the outcome of the application;
(iii)    the date(s) on which any proposal of terms of participation or conditional approval was communicated by the administrator of the Scheme to the applicant, the date on which the final decision on the application was communicated to the applicant and, if the final decision was to admit the applicant to the Scheme, the date on which the applicant was admitted to the Scheme; and
(iv)    where the application was rejected, the reasons the application was rejected; and
(c)     listing all entities who ceased to be participants in the Scheme in Australia during the reporting period and providing details of the reasons these entities ceased to be participants to the extent known by the administrator of the Scheme.
 
Attachment B – Variation of the Visa Access Regime
1. Heading entitled “Access Regime”
After “Access Regime”, insert “for the VISA Credit Card System”.
2. Paragraph 2
After “Payment Systems (Regulation) Act 1998,”, delete “and” and insert “which is”.
After “referred to”, delete “as follows” and insert “in this Access Regime”.
3. Paragraph 3
After the definition of “credit card”, insert:
a “former specialist credit card institution” is an entity which, as at 31 December 2014, was an authorised deposit-taking institution that engaged in credit card issuing, credit card acquiring or both (within the meaning of Regulation 4 of the Banking Regulations 1966) and which did not otherwise conduct banking business within the meaning of Section 5 of the Banking Act 1959;
After “a “specialist credit card institution” is”, insert “: (a)” and after “Banking Act 1959;”, insert “or (b) a former specialist credit card institution;”.
After “terms defined”, insert “or having a meaning” and delete “Payments” and insert “Payment”.
4. Paragraph 6
Delete the first bullet point and substitute “(a)”.
Delete the second bullet point and substitute “(b)”.
5. Paragraph 7
After “This Access Regime”, delete “comes” and insert “originally came”.
After “23 February 2004.”, insert “This Access Regime as amended comes into force on 1 January 2015.”
6. Heading entitled “Eligibility for participation”
Delete “for participation” and insert “to apply to participate in the Scheme”.
7. Paragraph 8
After “Any”, delete “person who is an” and after “deposit-taking institution”, insert “or former specialist credit card institution”.
Delete “Subject to paragraph 9, any criteria may be applied by the Scheme in assessing applications for participation in the Scheme in Australia.”
8. New paragraphs 9, 10 and 11
After paragraph 8, insert:
9.      The administrator of the Scheme may establish (through the rules of the Scheme or otherwise) any criteria for eligibility to apply to participate in the Scheme in Australia in respect of entities other than authorised deposit-taking institutions and former specialist credit card institutions (“eligibility criteria”), provided these eligibility criteria are reasonably related to the risks to the Scheme or its participants, merchants or cardholders that are likely to arise from the participation. If eligibility criteria are established they must be applied by the administrator of the Scheme in accordance with their terms.
10.    Any entity, other than an authorised deposit-taking institution or former specialist credit card institution, is eligible to apply to participate in the Scheme in Australia, provided the entity meets any eligibility criteria.
Assessment of applications to participate in the Scheme and terms of participation
11.    Subject to paragraphs 12 and 13, the administrator of the Scheme must establish (through the rules of the Scheme or otherwise) and apply criteria for assessing applications for participation in the Scheme in Australia by eligible applicants (“assessment criteria”).
9. Paragraph 9
Renumber as paragraph 12.
After “Neither the rules of the”, delete “Scheme nor any participant in the Scheme” and insert “Scheme, nor the administrator of or any participant in the Scheme,”.
After “a class and”, delete “other”.
After “deposit-taking institutions”, insert “other than specialist credit card institutions”.
After “as a class in”, delete “relation to any of the criteria applied in assessing applications for participation” and insert “establishing or applying assessment criteria”.
After “Scheme in Australia”, insert:
, except to the extent reasonably required to assess and address the risks to the Scheme or its participants, merchants or cardholders arising, or likely to arise, from the participation of the class of entity in the scheme in Australia.
13.    Without limiting paragraph 12, neither the rules of the Scheme, nor the administrator of or any participant in the Scheme, shall discriminate against an entity (or class of entity) in establishing or applying assessment criteria or in relation to the rights and obligations of participants in the Scheme in Australia, except to the extent reasonably required to assess and address the risks to the Scheme or its participants, merchants or cardholders arising, or likely to arise, from the participation of the entity (or class of entity) in the Scheme in Australia.
10. Heading entitled “Terms of participation”
Delete entire heading.
11. Paragraph 10
Renumber as paragraph 14.
Delete paragraph numbering “(i)”, “(ii)” and “(iii)” and substitute “(a)”, “(b)” and     “(c)” respectively.
12. Paragraphs 11 and 12
Renumber as paragraphs 15 and 16.
13. Heading entitled “Transparency”
After “Transparency”, insert “and assessment of applications”.
14. Paragraph 13
Renumber as paragraph 17.
After “of the Scheme”, delete “or a representative of the participants in the Scheme in Australia.
After “must”, insert “continuously”.
After “publish”, delete “the criteria applied in assessing applications for participation in the Scheme in Australia on the Scheme’s website, or make such criteria generally available through other means within three months after this Access Regime comes into force” and insert:
on the Scheme’s website:
(a)     any eligibility criteria and the risks that the eligibility criteria seek to address;
(b)     the assessment criteria and the risks that the assessment criteria seek to address; and
(c)     the maximum time it will take to assess any application to participate in the Scheme in Australia before terms of participation will be proposed to the applicant or a decision on the application will be made.
15. Paragraph 14
Renumber as paragraph 18.
After “must provide to”, substitute “a person” with “an entity”.
After “the application before”, insert “terms of participation will be proposed to the applicant or”.
Renumber the last sentence as a new paragraph 19 and after “The administrator”, insert “of the Scheme”.
16. Paragraph 15
Renumber as paragraph 20.
After “must provide to”, substitute “a person” with “an entity”.
After the end of paragraph 15 (renumbered as paragraph 20), insert:
Certification and reporting
21.    The administrator of the Scheme must provide to the Reserve Bank on or before 31 July each year a certificate:
(a)     certifying, in respect of the twelve-month period ending on 30 June of that same year (the “reporting period”), that:
(i)      at all times during the reporting period the eligibility criteria and the assessment criteria were in compliance with this Access Regime;
(ii)     any applicant admitted to the Scheme during the reporting period met, at the time of admission, all risk-related eligibility and assessment criteria; and
(iii)    at all times during the reporting period it has otherwise complied with this Access Regime; and
(b)     listing all entities whose application to participate in the Scheme in Australia was either made during the reporting period or outstanding at the commencement of the reporting period and details for each entity (as applicable) of:
(i)      the date on which the application was made;
(ii)     the outcome of the application;
(iii)    the date(s) on which any proposal of terms of participation or conditional approval was communicated by the administrator of the Scheme to the applicant, the date on which the final decision on the application was communicated to the applicant and, if the final decision was to admit the applicant to the Scheme, the date on which the applicant was admitted to the Scheme; and
(iv)    where the application was rejected, the reasons the application was rejected; and
(c)     listing all entities who ceased to be participants in the Scheme in Australia during the reporting period and providing details of the reasons these entities ceased to be participants to the extent known by the administrator of the Scheme.