Amazon to stop accepting UK-issued Visa credit cards

Company blames the move, which will start on 19 January, on the cost of processing payments

Last modified on Wed 17 Nov 2021 06.24 EST

Amazon has told customers that it plans to stop accepting payments made with UK-issued Visa credit cards in January.

In an email to users of the site, it blamed the cost of processing the payments, telling them: “Starting 19 January 2022, we will unfortunately no longer accept Visa credit cards issued in the UK, due to the high fees Visa charges for processing credit card transactions.”

The retailer said it would continue to accept Visa debit cards and other credit cards, including Mastercard and American Express, but acknowledged that the change would be “inconvenient” for some customers.

Payments on cards attract a range of fees including interchange fees and other transaction charges, and it is not clear which Amazon has taken issue with.

Interchange fees are typically a percentage of the cost of the transaction, and are higher for credit card transactions, and for those where purchases are made remotely, including online sales, although there are caps on payments within the UK.

In a statement, Visa said it was “very disappointed that Amazon is threatening to restrict consumer choice in the future”.

It said: “When consumer choice is limited, nobody wins. We have a longstanding 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.”

It added that UK shoppers could continue to use their cards at Amazon “throughout the holiday season”.

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