Visa said Amazon was ‘threatening to restrict consumer choice’ © Philippe Wojazer/Reuters
Amazon is to stop accepting payments using UK-issued Visa credit cards from the start of next year.
In an announcement that some customers received this week, the ecommerce group cited the “high fees Visa charges for processing credit card transactions”.
The change will not affect Visa’s debit cards, its credit cards issued outside the UK, or credit cards offered by competitors such as Mastercard.
Amazon is offering customers £20 off their next purchase using an alternative payment method in order to encourage them to update payments.
Visa said it was “very disappointed that Amazon is threatening to restrict consumer choice”, adding that it would “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”.
Amazon said the cost of card payments was an obstacle to providing customers with the best prices. “With the rapidly changing payments landscape around the world, we will continue innovating on behalf of customers to add and promote faster, cheaper, and more inclusive payment options to our stores across the globe.”
Earlier this year Amazon announced a 0.5 per cent surcharge to purchases made using Visa credit cards in Australia and Singapore.