There had been some previous news that Amazon was going to stop accepting Visa credit cards in the United Kingdom. This was going to take place in January itself but now there had been a statement made by Amazon that states that whatever they have said before had been scrolled off.
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Amazon Halts Plan to Stop Accepting Visa Credit Cards in the UK
The plan is not going to continue anymore and they are still going to accept the Visa credit cards in the United Kingdom once again.
There had been a very sudden announcement about this decision by Amazon in the month of November last year. This had been caused because of the high fees charged by the Visa company when the transaction was done with their card. The announcement made Visa very disappointed in all this and then they probably have tried to work things with each other.
“We are working closely with Visa on a potential solution that will enable customers to continue using their Visa credit cards on Amazon.co.uk,” said an Amazon spokesperson in a news statement to the news.
We do not know why the decision was taken and why Amazon made this change in the plans that they had already announced to the public. We also don’t know whether this is the final plan. However, it does appear that they are working together on this problem and trying to find out a solution for both of them.
‘Amazon customers can continue to use Visa cards on Amazon.co.uk after January 19 while we work closely together to reach an agreement,” said a Visa spokesperson on the news. That is how matters stand right nowhere.
Final Words
It’s no surprise that Visa is being dropped by Amazon as a payment option, according to Peter Kimpton, a personal finance expert at Family Money.
Even though they have a significant lead in the market, Amazon still has to be able to compete with the many other online retailers and the small companies that consumers are increasingly looking to support in the wake of the pandemic.
To achieve this goal while still turning a profit, they must find ways to reduce costs wherever feasible, and transaction fees are a natural place to start.
Visa has criticised Amazon for limiting consumer choice, but I don’t think this will be an issue because many people already carry multiple credit cards and/or debit cards. I don’t think this will have any negative effect on Amazon’s business, and other major retailers may start doing the same thing.
