Amazon continues to accept Visa credit cards in the UK as it tries to resolve a payment dispute | Business News

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Amazon announced that it will not stop accepting Visa credit cards for payments in the UK later this week as planned as the two companies seek to resolve the dispute.

In an email to customers, the online retailer said it was “working closely with Visa to find a potential solution.”

The move was due to take effect on January 19, with Amazon blaming “high-fee Visa fees for processing credit card transactions” when it was announced last November.

Photo: Amazon was said to be particularly angry at the so-called exchange fee hike

Amazon’s latest message to customers did not say the dispute was permanently resolved.

But she said, “If we make any changes related to Visa credit cards, we will give you advance notice.”

Visa also issued a brief statement, saying: “Amazon customers can continue to use Visa cards on Amazon.co.uk after January 19 as we work closely together to reach an agreement.”

As the internet giant announced the ban, she said it was “very disappointed that Amazon threatens to restrict consumer choice in the future.”

The online retailer was said to have been particularly angry about the rise in so-called interchange fees – additional costs across borders – which are believed to have increased fivefold since Brexit.

Such fees, paid by Amazon itself or merchants on its platform, would squeeze margins — or raise prices if passed on to customers.

Losing the right to use it for payments on the UK retail platform has been a huge blow to Visa.

Research by consultants Mintel published last year showed that 89% of British consumers shop on Amazon.

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