- Amazon (NASDAQ: AMZN) announced an agreement with Visa (NYSE: V) to settle a dispute over the credit card company’s fees. These are the details.
Amazon (NASDAQ: AMZN) has reportedly come to an agreement with Visa (NYSE: V) to settle a dispute over the credit card company’s fees. Last year, Amazon halted the acceptance of Visa credit cards in the UK. And Amazon also considered dropping Visa in the U.S. This put tremendous pressure on Visa to lower its higher transaction fees.
Visa had raised its transaction fees by 0.3% for online and phone payments and by 0.2% for debit card payments. British regulatory bodies also threatened to sanction the company for this fee change.
The terms of the agreement between Amazon and Visa are unknown. But Amazon is also going to remove a 0.5% surcharge on Visa credit card transactions — which was introduced in Singapore and Australia last year.
Visa confirmed an agreement was made in an email sent to CNBC. Plus the two companies are going to work closely on new product and technology initiatives.
