Amazon.com has agreed to accept Visa credit cards across its network putting an end to a stalemate between the two.
This tussle had threatened to disrupt e-commerce payments and give a blow to the US-based payments processor.
Amazon announced in November that it was considering eliminating Visa as a partner on its US co-branded credit card, after previously stating that it would no longer accept Visa credit cards in the UK due to excessive transaction costs.
Amazon and Visa declared on Thursday, February 17, that they had agreed to allow Visa cards to be used as payment on Amazon’s sites without added fees.
Visa also said that the companies would work collectively to develop “innovative payment experiences.”
Amazon began charging customers in Australia and Singapore a 0.5 percent surcharge to pay with a Visa credit card.
A Visa spokesperson said: “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.”
During the pandemic, more customers are turning to internet purchasing, and Visa and other card providers have been under fire for imposing surcharges on shops.
Data released Wednesday, February 16, from the US Census Bureau showed that retail sales were up by 3.8 percent last month.
Nonstore retailers’ sales, which include major online shopping websites, increased by 14.5 percent in January, outpacing all other categories.
Source: The Hill