Tap and go payment limit increased to $200 to stop the virus spread.

Tap and go payment limit increased to $200 to stop the virus spread.

From next week Australian shoppers will be able to make purchases of up to $200 at the checkout using tap and go, as retailers try to stop the spread of the coronavirus.

With the increas the supermarket will become a less likely source of COVID-19 infection, with major players also moving to increase the PIN limit for contactless card payments.

Earlier this month, the World Health Organisation urgesd people to use contactless technology instead of wherever possible, as banknotes and coins are considered a possible source of transmission for COVID-19.

From Monday retailers will start lifting the limit from $100 to $200 for tap-and-go purchases to reduce the need for physical contact with the payment terminal.

The self-regulatory body for the payments industry, AusPayNet, announced the move on Friday, saying that given the number of cards and the number of retailers in the country, the rollout could take some time.

The limit increase is a direct response to the coronavirus pandemic and will operate initially for a three-month period only.

Given the new $200 limit, it is now more important than ever for people to keep their credit and debit cards secure.

'The increased limit is a pragmatic and important response to a changing environment. Consumers are tending to buy more, less often,' AusPayNet CEO Andy White said. 

'Contactless transactions are highly secure. However consistent with long standing advice, consumers are encouraged to look after their cards like cash to protect against theft,' he added. 

The payment limit will also apply to shoppers using digital wallets on their smartphones or smartwatches.