Amazon to stop accepting Visa credit cards

General chat forum
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Amazon to stop accepting Visa credit cards

Post by Fed-up »

So Amazon have decided to stop accepting UK issued Visa cards because of an increase in fees.

According to the BBC article (https://www.bbc.co.uk/news/business-59306200), these charges have been slowly increasing for a number of years, so not tied to a single event, and Visa claims that it takes less than 0.1% of the full purchase price (on average).

I've noticed that, increasingly, is not the cheapest option but is often the most convenient in terms of delivery timescales. However, more and more of the items listed seem to be sold by Chinese companies with intelligible addresses using Marketplace, and questionable quality.

We currently mainly use Amazon for Prime video and the backup options for documents and photos, so I guess I'll be looking at a new option for those shortly, unless they sort out their public spat.

Seems a very strange negotiating tactic from Amazon, but I'm not going to change my credit card just because they can't sort out their differences. I'll just go elsewhere.
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
ChipbuttyG
Super Contributor
Posts: 789
Joined: 13 Sep 2021 09:50

Re: Amazon to stop accepting Visa credit cards

Post by ChipbuttyG »

Yes. Saw this earlier. I'll change over. You also get £20 credit when you do!
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

£20 credit for changing over to what?
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
ChipbuttyG
Super Contributor
Posts: 789
Joined: 13 Sep 2021 09:50

Re: Amazon to stop accepting Visa credit cards

Post by ChipbuttyG »

Sorry - to an Amazon credit card.
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

Just seen that. Get £20 credit for adding a debit card, Mastercard or AMEX to your account.

Still think I'll look elsewhere because I won't trust them with a debit card and don't want to take out a different Mastercard/AMEX. I get a good cashback rate on my Visa credit card so would lose out overall.
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
KeithW
Super Contributor
Posts: 2094
Joined: 27 Jan 2019 15:29

Re: Amazon to stop accepting Visa credit cards

Post by KeithW »

I predict that Amazon will come to some arrangement, they're just posturing. They still won't get my money though.
User avatar
piwacket
Moderator
Posts: 31349
Joined: 15 Aug 2006 22:05

Re: Amazon to stop accepting Visa credit cards

Post by piwacket »

I saw that earlier too. I suspect what they’re after is for a lot of people to use their card :whistle1: And I don’t think they accept AMEX either?
I don’t want either.

Unless people do take their card, I think they’ll lose a lot of customers, so will definitely come to some arrangement with Visa. I’m somewhat surprised they don’t already have that in place. When in business with the Gallery, many like us belonged to a Guild, who negotiated with all the banks to get members a better ‘admin’ rate, so I’m sure Amazon would have no problem doing the same if they wanted to…. To add to their £billions profits!
There's no such thing as a free lunch
User avatar
MickEdge
Super Contributor
Posts: 2247
Joined: 08 Jul 2015 14:54

Re: Amazon to stop accepting Visa credit cards

Post by MickEdge »

Mrs E got the email and thought it a scam because of the link to update your card details, so I googled and it was for real. Then it was all over the news. I see Brexit has been blamed because the EU law on limiting cross border inter-change card fees no longer applies here. A companion Brexit feature to go with the introduction of mobile roaming fees. The benefits just keep rolling in. From little acorns oak trees grow.
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

Except Amazon say the charges have been increasing for years so can't be related to Brexit.

Couldn't possibly be related to Amazon signing a deal with MasterCard for an affinity card, can it? ;-)
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
User avatar
piwacket
Moderator
Posts: 31349
Joined: 15 Aug 2006 22:05

Re: Amazon to stop accepting Visa credit cards

Post by piwacket »

Fed-up wrote: 17 Nov 2021 22:24 Except Amazon say the charges have been increasing for years so can't be related to Brexit.

Couldn't possibly be related to Amazon signing a deal with MasterCard for an affinity card, can it? ;-)
:)) Brexit is the ‘kicking boy’ you know!

What’s an Affinity card?
There's no such thing as a free lunch
User avatar
mikejee
Super Contributor
Posts: 2643
Joined: 22 Sep 2007 15:27

Re: Amazon to stop accepting Visa credit cards

Post by mikejee »

Ok. An affinity card is a card run by one of the main companies, but with a firms name on it . It usually gives rewards for using it, especially if buying from that firm, but you may have to pay a much higher rate of interest than other cards
User avatar
Bam
Super Contributor
Posts: 8297
Joined: 05 Feb 2003 19:40

Re: Amazon to stop accepting Visa credit cards

Post by Bam »

Those worried about this might consider not using any sort of credit card at all but to make purchases direct from their savings or save up for what they want to buy first.

It all has to be paid for in the end one way or another. The only winners are the credit card companies. Deferring payment can only get a poor person into even more debt.
Mayfield
Moderator
Posts: 14161
Joined: 15 Nov 2007 18:50

Re: Amazon to stop accepting Visa credit cards

Post by Mayfield »

I checked and my CC is a MasterCard, and I get cash back, so no hassle - but I’ll be surprised if they don’t do a deal ….
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

I use a credit card and pay it off in full every month. I also get cash back on the purchase that I make. It is not a huge amount but it also gives me added legal protection if a purchase is a dud one (subject to conditions).

Agree though, that if you don't pay it off every month then you must be desperate.
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
Mayfield
Moderator
Posts: 14161
Joined: 15 Nov 2007 18:50

Re: Amazon to stop accepting Visa credit cards

Post by Mayfield »

We pay ours off, in full, every month.

Lots of people do….the cash back element usually funds the Turkey at Christmas plus a few bits and pieces…all my ‘good’ knives were bought with the cash back element ( its vouchers )
Works for me 🙂
User avatar
Bam
Super Contributor
Posts: 8297
Joined: 05 Feb 2003 19:40

Re: Amazon to stop accepting Visa credit cards

Post by Bam »

The last time I had a credit card was about 1980 and there was no cashback incentive then. However in spite of any discount, I could not be bothered with yet another thing to keep tabs on every month. Do they give cashback on all purchases?

Debit cards now give good fraud protection. Online sites like ebay give very good no hassle consumer protection and the sale of goods act covers faults for 1 year and in some cases much longer depending on the product.

If credit cards suit some, fair enough but they are not as essential to life as their adverts purport. Except maybe for a lot of car hire.
KeithW
Super Contributor
Posts: 2094
Joined: 27 Jan 2019 15:29

Re: Amazon to stop accepting Visa credit cards

Post by KeithW »

Bam wrote: 18 Nov 2021 06:52 Those worried about this might consider not using any sort of credit card at all but to make purchases direct from their savings or save up for what they want to buy first.

It all has to be paid for in the end one way or another. The only winners are the credit card companies. Deferring payment can only get a poor person into even more debt.
I'd always opt for a credit card for any significant purchase. The protection is much better as the card issuer is liable, along with the supplier, should anything go wrong. So if your new cooker is faulty or the supplier goes bust before they deliver or your holiday is cancelled you have some comeback from the CC company. Mind you, ours are always paid off in full every month.

Section 75 of the Consumer Credit Act is the thing to look up if you're interested.
Mayfield
Moderator
Posts: 14161
Joined: 15 Nov 2007 18:50

Re: Amazon to stop accepting Visa credit cards

Post by Mayfield »

Yes, they give cash back on all purchases. Two different levels but since a lot of our spending qualifies for the better level - no issue.

It suited us to use a CC when we had the business - and we’ve continued.
User avatar
MickEdge
Super Contributor
Posts: 2247
Joined: 08 Jul 2015 14:54

Re: Amazon to stop accepting Visa credit cards

Post by MickEdge »

Credit cards are simply the modern form of “put it on my account” that shops did for centuries, allowing you to pay your bill at the end of the month. It’s always been a problem for the hard up, but for most of us it means being able to settle your bills once you’ve been paid. It made sense then and it does today.
User avatar
Bam
Super Contributor
Posts: 8297
Joined: 05 Feb 2003 19:40

Re: Amazon to stop accepting Visa credit cards

Post by Bam »

I guess any prejudice I hold stems from my upbringing. My grandfather went bankrupt and so my father drummed into us never to buy anything on credit but I did have a small mortgage for a while and the phone and electric bills of course. Cars have always been cash purchases, never had a new one.
User avatar
piwacket
Moderator
Posts: 31349
Joined: 15 Aug 2006 22:05

Re: Amazon to stop accepting Visa credit cards

Post by piwacket »

Bam wrote: 18 Nov 2021 06:52 Those worried about this might consider not using any sort of credit card at all but to make purchases direct from their savings or save up for what they want to buy first.

It all has to be paid for in the end one way or another. The only winners are the credit card companies. Deferring payment can only get a poor person into even more debt.
Saving up Bam - that’s very old-fashioned now :)) it always has to be ‘I want it now, I haven’t any savings, so I’ll put on the CC. I know of at least 3 people who live on their CC - in fact having been with one person when shopping, they flipped their wallet open and debated which one to use, there was at least 8 or 9 there to choose from! And I gathered later, they use each of them to pay off others each month. But they’re never short of anything including ‘posh’ dinners etc…. and no - it doesn’t have to be ‘paid for in the end’ vecause as a couple they’ve each individually been bankrupt a couple of times over the years :) what amazes me is how they get Credit - but Banks don’t seem concerned about that.

I haven’t had a CC for years either - but then I had an upbringing like yours :)

I do have a debit account card in which I keep a minimal amount for shopping online - so if some ne’er-do-well hacks it they won’t get too much!
There's no such thing as a free lunch
rolew
Super Contributor
Posts: 720
Joined: 25 Nov 2004 09:55

Re: Amazon to stop accepting Visa credit cards

Post by rolew »

I'm similar to Bam with no credit card and my Dad always said if you can't pay for it you can't afford it.
ChipbuttyG
Super Contributor
Posts: 789
Joined: 13 Sep 2021 09:50

Re: Amazon to stop accepting Visa credit cards

Post by ChipbuttyG »

I can pay for it, but get rewarded for using my credit card whereas I don't using my debit card.
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

Credit Cards have specific legal protection if you have a problem with a retailer (section 75) which I don't believe is available with debit cards, which rely on best efforts and good will.
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
User avatar
OLDMAN
Moderator
Posts: 22061
Joined: 24 Oct 2007 09:03

Re: Amazon to stop accepting Visa credit cards

Post by OLDMAN »

Amex isn’t accepted in a lot of places for the same reason of high fees, so no different

I always have to laugh as my DC is gold coloured and the number of times I’ve presented it, to be told ‘we don’t accept that card here’ only for me to explains it’s a gold account bank ‘debit’ card not Amex
A couple of times the cashier didn’t believe me so I asked for a manager to sort it out!
Oldman........

God, grant me the serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to hide the bodies of the people I had to kill because they annoyed me........................

I hug everybody –
It’s not affection, I’m just measuring up how big a hole I need to dig for the body!
User avatar
chris_j_wood
Super Contributor
Posts: 6074
Joined: 15 Jun 2009 13:10

Re: Amazon to stop accepting Visa credit cards

Post by chris_j_wood »

piwacket wrote: 17 Nov 2021 22:40 Brexit is the ‘kicking boy’ you know!
Interestingly, TechMarketView seems in no doubt that brexit is a contributory factor to Amazon ditching Visa. They are not normally known for having a political axe to grind, and most of our management team subscribe to them because of their perceptive coverage of the tech marketplace. So I would be inclined to believe them.

https://www.techmarketview.com/ukhotvie ... ents-costs
KeithW
Super Contributor
Posts: 2094
Joined: 27 Jan 2019 15:29

Re: Amazon to stop accepting Visa credit cards

Post by KeithW »

chris_j_wood wrote: 18 Nov 2021 14:42
piwacket wrote: 17 Nov 2021 22:40 Brexit is the ‘kicking boy’ you know!
Interestingly, TechMarketView seems in no doubt that brexit is a contributory factor to Amazon ditching Visa. They are not normally known for having a political axe to grind, and most of our management team subscribe to them because of their perceptive coverage of the tech marketplace. So I would be inclined to believe them.
There was a spoof newspaper headline in Private Eye recently...

Brexit not caused by Brexit!
User avatar
OLDMAN
Moderator
Posts: 22061
Joined: 24 Oct 2007 09:03

Re: Amazon to stop accepting Visa credit cards

Post by OLDMAN »

Thing is it’s not just the UK so how can it be due to Brexit
This is a worldwide increase –

Visa and MasterCard based CC’s where supposed to increase dealer fees back in 2020, but delayed it for obvious reasons
It was announced in January this year they ‘would’ rise in April, which they did

Now Amazon will not accept Visa ones but must be across the world, not just UK – but what about MasterCard as that have gone up as well?

Does sound more like trying to force people to sign up / use their ‘recommended’ CC...................which they’ve just launched, how convenient is that?
Oldman........

God, grant me the serenity to accept the things I cannot change, the courage to change the things I can, and the wisdom to hide the bodies of the people I had to kill because they annoyed me........................

I hug everybody –
It’s not affection, I’m just measuring up how big a hole I need to dig for the body!
cnb
Super Contributor
Posts: 2358
Joined: 01 Aug 2007 15:42

Re: Amazon to stop accepting Visa credit cards

Post by cnb »

OLDMAN wrote: 19 Nov 2021 07:43 Thing is it’s not just the UK so how can it be due to Brexit
This is a worldwide increase –
It can't be a worldwide increase because card fees in the EU are capped by law. That's why it's related to Brexit - within the EU the rise would be illegal.
Pooneil
Moderator
Posts: 8134
Joined: 10 May 2011 00:57

Re: Amazon to stop accepting Visa credit cards

Post by Pooneil »

cnb wrote: 19 Nov 2021 07:51
OLDMAN wrote: 19 Nov 2021 07:43 Thing is it’s not just the UK so how can it be due to Brexit
This is a worldwide increase –
It can't be a worldwide increase because card fees in the EU are capped by law. That's why it's related to Brexit - within the EU the rise would be illegal.
Yes, it's definitely a Brexit "dividend" and Mastercard actually stated that it was as a result of Brexit when they increased their fees for purchases from EU suppliers by UK residents - https://www.bbc.co.uk/news/business-55796426
Whilst I am a moderator, I am NOT posting in that capacity unless I explicitly say so
Fed-up
Super Contributor
Posts: 5285
Joined: 05 Jun 2013 12:28

Re: Amazon to stop accepting Visa credit cards

Post by Fed-up »

But Amazon are still accepting Mastercard after January....
"Every place that I have been leaves its message on my skin. So many prophecies, so many signs, so little time, so little time" - Alan Prosser/Ian Telfer
C.A.Versham
Super Contributor
Posts: 3516
Joined: 07 Jun 2014 20:21

Re: Amazon to stop accepting Visa credit cards

Post by C.A.Versham »

There seems to be new type of Godwin's Law developing. In any online discussion, on any topic, someone eventually mentions Brexit.

I tend towards the link to the launch of their own card.

Personally we do not buy anything from Amazon due to the way they avoid paying their fair share of taxes. Might be irrational of us but there we are.

I use a CC a lot and pay off the balance every month. I like the protection it gives. Very rarely use cash nowadays and almost never my debit card, which, by the way is the only one so far I've had cloned, most probably at London Airport.
Sometimes right, sometimes wrong, always certain.
cnb
Super Contributor
Posts: 2358
Joined: 01 Aug 2007 15:42

Re: Amazon to stop accepting Visa credit cards

Post by cnb »

Fed-up wrote: 19 Nov 2021 10:24 But Amazon are still accepting Mastercard after January....
Large customers like Amazon don't pay list price. Presumably Amazon is happy with the rate it has negotiated with Mastercard, but not the rate Visa is offering. They have similar issues with Visa in other countries (Singapore and Australia so far), and add a surcharge for payment with Visa. That would be illegal in the UK, so instead they intend to stop accepting the cards altogether.
cnb
Super Contributor
Posts: 2358
Joined: 01 Aug 2007 15:42

Re: Amazon to stop accepting Visa credit cards

Post by cnb »

C.A.Versham wrote: 19 Nov 2021 10:32 I tend towards the link to the launch of their own card.
Amazon launched their own card in the US five years ago, with Visa, and still accept all other credit cards. This is entirely about Visa not wanting to negotiate the fees down to a level Amazon is happy with.
C.A.Versham
Super Contributor
Posts: 3516
Joined: 07 Jun 2014 20:21

Re: Amazon to stop accepting Visa credit cards

Post by C.A.Versham »

Didn't know that. Fair enough.
Sometimes right, sometimes wrong, always certain.
Post Reply

Return to “Chatty Person”