Update 13 Jan 2026
We would like to thank members for their calls and enquiries following the below published content on 12 January 2026. We understand that this has caused confusion with some members, and we appreciate you reaching out for confirmation.
The content below published on 12 January 2026 reflected the clarifications provided directly to REINSW by NSW Fair Trading over the past few months in relation to certain rental reforms. Given the volume and importance of these clarifications, we considered it appropriate and necessary to share this guidance with members to support compliance.
Following member feedback and enquiries, we have returned to NSW Fair Trading to seek urgent additional clarification, particularly in relation to:
- Rental increases by a new landlord following a change in property ownership
- Fees payable when rent is paid by credit card
As always, our role is to advocate for members and ensure you have the most accurate, practical guidance and information available. We will continue to advocate on behalf of members and seek certainty where guidance has been interpreted differently. We will provide an update as soon as NSW Fair Trading responds with a confirmed position.
Thank you again for your engagement, patience and for raising your questions with us.
REINSW
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Original content 12 Jan 2026
REINSW has sought clarification from NSW Fair Trading on several practical issues arising from the latest residential tenancy reforms - including new rent payment requirements, terminations and early exit notices - to help members apply the changes correctly in their day-to-day practice.
The information below outlines key points raised and provides guidance to assist members in remaining compliant.
Credit card payments and merchant fees
If a tenant chooses to pay rent by credit card despite being offered a fee-free option, NSW Fair Trading has confirmed that the merchant fee and credit card surcharges cannot be passed on to tenants.
Why:
- Tenants must always be offered at least one fee-free approved electronic bank transfer method to pay rent (tenant’s own bank fees excepted).
- Landlords and agents cannot charge fees for paying rent in a prescribed way. Only dishonour fees may be passed on.
- Credit card surcharges are not authorised under the Residential Tenancies Act 2010 (NSW) (Act) or Residential Tenancies Regulation 2019 (NSW), even when optional.
Merchant fees should instead be managed as part of the landlord’s standard leasing expenses; they must be managed or recovered through rent-setting and broader pricing decisions, not through additional charges to tenants.
Are BPAY and PayTo approved electronic bank transfer methods?
NSW Fair Trading confirmed that an approved electronic bank transfer is any fee-free payment method from the tenant to the landlord or agent’s account (except ordinary fees charged by the tenant’s bank) that the tenant can arrange or control through their own financial institution. This may include:
- BPAY
- PayTo, or
- Other similar bank-controlled methods provided no fee is charged to the tenant.
Agencies may offer a range of compliant payment options, but tenants cannot be compelled to use a specific provider.
Please note that any fees associated with using BPAY or PayTo cannot be passed onto the tenant.
Do agents have to provide trust account details for rent payments?
What happens when a tenant is offered, and refuses, various approved electronic bank transfer methods and instead wants to pay rent via the agent’s trust account but the agent does not want to provide their trust account details or is not permitted to do so for cyber security and insurance reasons?
NSW Fair Trading has confirmed that the Act stipulates that an approved electronic bank transfer must enable funds to move from the tenant to an account held by the landlord or agent. However, it does not require that this account be a trust account or that the account details be provided directly to the tenant.
How the new rent increase provisions apply to a change of ownership (ie. a new landlord)
Rent can increase within 12 months of a previous increase if the landlord changes, such as when the property is sold to an investor. In this case, the new owner should complete and give the tenant a Notice of New Owner/s of Residential Premises (Notice of Attornment) form (FM01065), available on REI Forms Live.
Early Exit Notice
Following member queries to the Helpline about the Early Exit Notice introduced with the RTA reforms, REINSW sought clarification from NSW Fair Trading on how the notice operates where there are multiple tenants on a lease.
NSW Fair Trading has confirmed that an individual tenant cannot give a valid Early Exit Notice on their own if other tenants intend to remain in the premises until the termination date (e.g. 90 days away). This is because an Early Exit Notice requires vacant possession on the termination date, which is not possible where co-tenants stay on.
In these circumstances, all tenants must give the Early Exit Notice jointly. NSW Fair Trading also noted that separate provisions allow a single tenant to end their own co-tenancy under certain circumstances, such as domestic violence terminations or under section 110B of the Act.
NSW Fair Trading standard lease wording
In June 2025, REINSW identified a discrepancy between the wording in NSW Fair Trading’s standard residential tenancy agreement and the wording prescribed in the Standard Form of Agreement – Schedule 1, Residential Tenancies Regulations 2019. The NSW Fair Trading-published lease form referred to a landlord’s “telephone number and other contact details,” while the Regulation requires a “telephone number or other contact details.”
REINSW raised this discrepancy with NSW Fair Trading, noting that the Regulation is the source of truth and that the inconsistency was causing confusion for members. NSW Fair Trading has since corrected the wording on the website form to clarify that it is a phone number or other details, not both. They also thanked REINSW for bringing the discrepancy to their attention.
This highlights the behind-the-scenes work REINSW does to address member concerns and support day-to-day practice.
If you have any questions about these clarifications or require further guidance on the RTA reforms, please contact the REINSW Helpline on (02) 9264 2343 or email [email protected].