Small business concerns about the move to PIN-only credit cards are unfounded, according to the Australian Retailers Association.
The group said some small businesses feared phasing out signature verification, which could save the banking sector $75 million a year in credit card fraud, could cost them and inconvenience their customers.
ARA executive director Russell Zimmerman said it was mostly cafe and restaurant owners who were concerned about the change.
Mr Zimmerman said there had been "a lot of noise" from the small business sector that the PIN-only system would stop customers leaving a tip or verifying prices before paying.
But he said mobile devices allowing customers to register their PIN code from their seat meant the system would operate much like it did now, whereby customers signed for their purchase from their seat.
The head of the initiative to phase out signature verification, Lance Blockley, said small businesses would not incur any new costs.
Mr Blockley said banks would launch a multimillion- dollar awareness campaign later this year to inform the public about the change.