Retail giant Amazon have announced that they will no longer accept Visa credit cards as a form of payment.
The prohibition will come into effect on January 19, with UK-issued Visa credit cards no longer being accepted on that date forward. All other credit cards, including Visas issued outside of the UK, will be exempt from the ban.
Although the company said the decision is ‘inconvenient’, they say that the high transaction process fees on the platform has forced them to make the switch. Meanwhile, Visa say Amazon are ‘restricting choice’.
Amazon believes interchange and cross-border fees have risen five fold since Brexit. These fees are passed on to merchants and eventually consumers, increasing costs.
A spokesperson for Amazon 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.”