Hi Simone
Given that I live in your council area I could be bias in my response.
From what I know the issue with Service NSW was that they did not offer alternative payment options for online services, such as BPAY which no longer charge an MSF for credit card payments.
The Reserve Bank rules allow the passing on of an MSF provided your customers (ratepayers) can pay using alternatives that do not attract an MSF, such as cash cheque OTC EFTPOS or by BPAY.
I have always resisted the removal on the basis that council (ratepayers) will incure large MSF fees from DA payments.
Hope this is helpful.
Regards,
Andrew
