Amazon plans to stop accepting payments from UK-based visa credit cards as early as January 2022. our reporter Viktorie Brezinova reports.
In a statement
“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.”
in an email to its users Amazon blamed the cost of processing Visa payments to themselves, telling us Starting from 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.”
Payments on cards attract a range of fees including interchange fees and other transaction charges, and it is understood that Amazon’s move has not been prompted by an increase in any of the charges in particular.
Under section 75 of the Consumer Credit Act, if a retailer goes out of business or fails to deliver goods as promised and the items cost more than £100, the credit card provider has an obligation to refund the costs.
Amazon informed customers that they should “update their Default” payment.
the email said, “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”
a Visa Spokesperson said;
“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.”
“With American Express also rejected by many UK retailers, that means people looking for rewards on their spending or trying to split the cost of shopping with a 0% purchase card on Amazon will be effectively forced to choose a Mastercard.”
how will this affect your day-to-day life? will you be canceling your prime membership and moving on, or will you adapt and use a MasterCard instead?