Amazon's Threat Worked as Visa Signs New Global Deal
The Amazon and Visa spat regarding high credit card fees is over after the two companies signed a new global deal.
Back in November, Amazon told its UK customers that Visa cards would no longer be accepted after Jan. 19 due to "the high fees Visa charges for processing credit card transactions." On Jan. 17, Amazon changed its mind and reversed the decision with two days to spare.
Amazon's very public threat to drop Visa clearly worked as this morning I received an email from Amazon UK stating:
"We’ve recently reached a global agreement with Visa that allows all customers to continue using their Visa credit cards in our stores. As a result, we will not move forward with our previous plans to stop accepting UK issued Visa credit cards ... We remain committed to offering customers a payment experience that is convenient and offers choice. Thank you for being an Amazon customer."
As it's a global deal, Visa cards will now continue to be accepted on all Amazon sites and in the company's stores worldwide. Bloomberg reports the news is even better for Amazon customers in Australia in Singapore, who until now had been paying an extra fee for using a Visa cards.
A Visa spokesperson said the deal also involved new tech collaboration, "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."
The way in which Amazon went about negotiating a new deal with Visa has left its UK customers frustrated. Many took the time to switch cards for themselves and relatives over the holidays in the belief that Visa was no longer going to be an option this
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