Amazon to stop accepting payments using UK-issued Visa credit cards

Amazon says UK customers will not be able to pay for goods using a Visa credit card from January, blaming a “high cost of payments”.

The online retail powerhouse emailed customers on Wednesday morning to confirm the move would take effect from 19 January and clarified that no other credit cards, or Visa debit cards, would be included in the ban.

It means that Visa credit cards issued outside of the UK will also be exempt.

Amazon declared it had taken the decision, which it admitted was “inconvenient”, due to “high fees Visa charges for processing credit card transactions” on its UK cards.

A spokesperson said: “The cost of accepting card payments continues to be an obstacle for businesses striving to provide the best prices for customers.

“These costs should be going down over time with technological advancements, but instead they continue to stay high or even rise.

“As a result of Visa’s continued high cost of payments, we regret that Amazon.co.uk will no longer accept UK-issued Visa credit cards as of 19 January, 2022.”

Amazon told customers they should update their default payment.

“We know this may be inconvenient, and we’re here to help you through this transition so you can continue enjoying Amazon’s low prices and wide selection”, it said in the email.

A Visa spokesperson responded: “UK shoppers can use their Visa debit and credit cards at Amazon UK today and throughout the holiday season.

“We are very disappointed that Amazon is threatening to restrict consumer choice in the future.

“When consumer choice is limited, nobody wins. We have a long-standing relationship with Amazon, and we continue to work toward a resolution, so our cardholders can use their preferred Visa credit cards at Amazon UK without Amazon-imposed restrictions come January 2022.”

The payment firm’s US-listed shares were down by more than 2% in pre-market trading.

Source: Read Full Article