ASB, BNZ, Kiwibank, and ANZ have waived contactless - pay-wave - transaction fees to eligible small and medium size businesses at least until the end of the month.
Bank of New Zealand (BNZ) executive for customer, products and services Dan Huggins, said the move would help reduce uncertainty.
"Waiving contactless fees will support our small and medium business customers as the country shifts toward more contactless operations and help reduce uncertainty at this crucial time.
"The fee waiver will happen automatically for SME customers who have a monthly merchant turnover of under $50,000 and will run until the end of October.
"We want to offer our customers as much certainty as possible and we're working hard to provide New Zealanders with the help they need," said Huggins.
The bank was also waiving Payclip fees providing temporary overdrafts, extending trade credit, asset finance funding, and providing quick online loans of up to $100,000.
ASB said it would waive debit card contactless merchant fees to support businesses trading through Covid-19 alert levels 3 and 4.
ASB's executive general manager for business banking Tim Deane said: "ASB is committed to backing our business customers through these uncertain times where, for many, cashflow is significantly restricted.
"While we are receiving fewer calls for financial support this time around, we're pleased to be able to put more money in the hands of our business customers because we know every little bit of relief counts, especially at the moment."
A Kiwibank spokesperson said the contactless fee waiver will be back-dated to the first day of the level 4 lockdown, August 18, and apply until October 31.
"Existing merchant customers that have contactless turned on will see a rebate come through shortly after their merchant service fee is charged.
"Merchant customers that wish to have contactless turned on should contact Kiwibank," the spokesperson said.
In May the Herald reported the Government was to clamp down on fees banks charge businesses when people pay by credit or debit cards.
Commerce minister David Clark said New Zealand's merchant service fees were unregulated and much higher than they were in Australia adding a significant overhead for retailers who often passed on the cost to consumers through higher prices.
"Reducing the merchant service fees that New Zealand businesses are being charged is a priority for this Government, and critical to the recovery of the economy."
A major component of the merchant fee is the interchange fee - the fee paid between banks to accept the card transaction.
Clark said it would cap the interchange fee at 0.8 per cent for credit card payments - in line with Australia - and the interchange fee for online debit card transactions at 0.6 per cent.
Contactless debit card interchange fees will stay at 0.2 per cent or less and swiped and inserted debit card fees would stay at zero.
Research by Retail New Zealand in 2018 found the average merchant fee in New Zealand was 1.6 per cent of the value of a transaction for credit cards - double the 0.8 per cent charged in Australia where they are regulated.
For contactless debit cards, the fee averaged 1.2 per cent in New Zealand and 0.6 per cent in Australia - where Paywave is nearly the norm.
ANZ Bank has also waived contactless debit payments for September.
ANZ New Zealand managing director for business banking Lorraine Mapu said the waiver would be reviewed monthly, "taking into account the needs of customers and Government emergency requirements".
Other short-term relief announced by ANZ included temporary overdrafts, waivers of loan restructuring fees and the options for customers to extend loan terms or move term lending to interest-only to reduce non-essential financial outgoings for businesses.