Canada Updates Code of Conduct for Card Transactions, Includes Mobile Payments
April 16, 2015
The Canadian government has updated its code of conduct for payment cards. Among the changes is the inclusion of mobile payments at the point of sale. The code was instituted in 2010 to protect consumers and small merchants. Other additions to the code of conduct, announced by Canadian Minister of Finance Joe Oliver on Friday, include assurance that interchange rate reductions passed last fall will be fully passed through to merchants, disclosures in merchant contracts about terms and fees must be made in plain language, more flexibility for merchants to exit their contracts without penalty, new branding requirements that make premium cards more identifiable to merchants at the point of sale and assurance that consumers will have unrestricted control of the default settings on their mobile wallets and devices.
“I am pleased to announce major improvements to the Code of Conduct for the Credit and Debit Card Industry in Canada,” Oliver said. “For merchants, these changes mean more transparency, more flexibility and more choice. Consumers will be getting the exact same—and paying less for the necessities of life. These changes mean more money in Canadians’ pockets and competitive retail markets, benefitting all Canadians.”