Amazon and Visa resolve dispute over credit card fees
Amazon will continue to accept Visa credit card payments across its sites after the companies struck a new global deal.
The move comes months after the online retailer threatened to stop the use of UK-issued Visa credit cards due to the fees charged to process payments.
Amazonsaid the fees were “an obstacle” to providing the best prices for its customers, while Visa accused Amazon of restricting customer choice.
However, the two businesses have since reached an agreement, ending weeks of negotiations.
A Visa spokesperson said: “Visa is pleased to have reached a broad, global agreement with Amazon. This agreement includes the acceptance of Visa at all Amazon stores and sites today, as well as a joint commitment to collaboration on new product and technology initiatives to ensure innovative payment experiences for our customers in the future.”
Amazon said: “We’ve recently reached a global agreement with Visa that allows all customers to continue using their Visa credit cards in our stores. Amazon remains committed to offering customers a payment experience that is convenient and offers choice.”
Amazon customers in Australia and Singapore previously had to pay a surcharge when purchasing items using a Visa credit card. This has also been removed.
The furore followed the removal of an EU cap on fees charged by card issuers in the UK after Brexit.
Visa increased the charge of the value of a transaction for credit card payments made online between the UK and the EU to 1.5%, from a previous charge of 0.3%. The companies have not disclosed how much Amazon pays for processing.
In an email to users of the site in November, Amazon blamed the cost of processing the payments: “Starting 19 January 2022, we will unfortunately no longer accept
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