If you have been following the recent news, Amazon made the decision to stop taking Visa credit cards as payments for purchases. Then Amazon decided to delay their decision and deadline to stop accepting Visa cards.
But as of this writing, Amazon and Visa have come to strike a “deal”, and we can continue using Visa cards for purchases through the online retailer.
This is a good thing, as here in the UK, the majority of us use Visa to make our online purchases, and Amazon is one of, if not the largest online retailer.
One of the issues Amazon had was the fees charged to use a Visa card to buy stuff via Amazon.
In striking a deal we get to continue using our Visa cards, and make purchases via Amazon. And Amazon does not lose out on our custom.
Amazon made a statement which said, “We’ve recently reached a global agreement with Visa that allows all customers to continue using their Visa credit cards in our stores.”
Visa also stated, “This agreement includes the acceptance of Visa at all Amazon stores and sites today, as well as a joint commitment to collaboration on new product and technology initiatives to ensure innovative payment experiences for our customers in the future.”
This decision to stop taking Visa cards and the action to continue, all stems from the fees that Visa charges per transaction when someone uses their cards. This fee can really add up, but so can the loss of revenue to Amazon if they stop accepting Visa as payment. It was estimated over £1 billion was spent in the UK alone using a Visa card with Amazon.