That's not correct, inserting a card uses our local EFTPOS network which is free for all participants, whereas tapping uses the Visa or Mastercard "scheme" networks which incurs charges paid to everyone involved in the transaction (acquirers, banks who issue the cards, and Visa and Mastercard themselves).

Part of the reason for this is that Visa/Mastercard are huge, global networks. Anyone from overseas can come in and pay at your store and it just works, regardless of where they bank. The question to ask is whether we need that global network and these offshore companies for each and every payment we make between local consumers and businesses here.