Normally if I add the photocard to my existing Oyster card, they don’t charge me anything else as I’m spending £10.90 on buying a Bus & Tram Pass, so had to spend £5 on the deposit, £1.50 on PAYG and £10.90 for a 7 day pass.
Don’t get me wrong, the local newsagent is one of the few retailers that know how to use the terminals for more than just standard PAYG/travelcard transactions and were very helpful in resolving my issue after my other card failed this week.
I wish there was a way where discounts could be associated with a contactless card than having to use Oyster when it comes to things like this as I already use Contactless for rail journeys.
I’ve had a look on the TfL site and it doesn’t mention any further charge to add the discount. However, it does seem to assume that you’ve already got the Oyster card. It is just possible that you do have to add credit before you can set the discount flag. I’ll try and find out.
With the improved daily and weekly capping on Oyster you could now switch to using your Oyster card rather than contactless.