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Amazon to stop accepting UK-issued Visa credit cards january 2022.


Fifth element
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I came across ths story elsewhere earlier this evening, and I actually found this a little baffling.

 

I would hazard a guess that the VAST majority of Amazon shoppers in the UK pay for their goods by using a Visa credit card.

 

I neither shop at Amazon on a regular basis, nor do I have any credit card (Visa, Mastercard or otherwise).

 

As a seller on Amazon (at work), one thing I can tell you is that Amazon are very good at passing on such fees to their sellers - when France introduced their digital services tax a couple of years ago, Amazon very kindly announced to its Amazon France marketplace sellers that their commission fees would be subject to an increase, in order to offset this 'digital services tax'.

 

So all that happened was that this new 'tax', that was designed to ensure that companies like Amazon paid their 'fair share' of tax, was passed on to sellers on that platform, in the form of increased fees. 🤔

 

There will no doubt be some 'outrage' over this, and an amount of 'hand-wringing'. If Amazon customers can't pay with a VISA credit card, they stand to lose a large number of customers as a result. Of course this won't be allowed to happen, and I don't think it is going to happen, there'll be more to this that we don't know about.

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1 minute ago, Anti Facts Sir said:

Yeah, isn't there a thing called "Amazon Pay" they were trialling? All your online shopping, or the stuff at amazon-accredited stores - could be done via these new method.

 

I suppose a bit like Paypal or whatever.

 

Amazon Pay has been around for a while - the idea is that you can use the stored credit/debit card in your Amazon account to pay for goods elsewhere on the internet that support Amazon Pay at checkout.

 

It still requires you to have a credit or debit card though.

 

Amazon do charge merchants a 'fee' for this service, same as the likes of PayPal.

 

Either way Amazon 'wins'. For products they sell themselves on Amazon marketplace, they make a profit.

 

For products that other sellers sell on Amazon marketplace, Amazon collects commission 'fees'. (15%!)

 

If buyers choose to go to other websites away from Amazon, and then make payment via Amazon Pay, then Amazon collects a fee from that merchant.

 

The fucking tentacles are everywhere.

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1 hour ago, Grumpy Owl said:

I came across ths story elsewhere earlier this evening, and I actually found this a little baffling.

 

I would hazard a guess that the VAST majority of Amazon shoppers in the UK pay for their goods by using a Visa credit card.

 

I neither shop at Amazon on a regular basis, nor do I have any credit card (Visa, Mastercard or otherwise).

 

As a seller on Amazon (at work), one thing I can tell you is that Amazon are very good at passing on such fees to their sellers - when France introduced their digital services tax a couple of years ago, Amazon very kindly announced to its Amazon France marketplace sellers that their commission fees would be subject to an increase, in order to offset this 'digital services tax'.

 

So all that happened was that this new 'tax', that was designed to ensure that companies like Amazon paid their 'fair share' of tax, was passed on to sellers on that platform, in the form of increased fees. 🤔

 

There will no doubt be some 'outrage' over this, and an amount of 'hand-wringing'. If Amazon customers can't pay with a VISA credit card, they stand to lose a large number of customers as a result. Of course this won't be allowed to happen, and I don't think it is going to happen, there'll be more to this that we don't know about.

For the greedy, it's never enough.

 

It's never enough because what they covet cannot satisfy - whether food, money, sex, power, status.

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4 hours ago, alexa said:

I will never shop there, the amount of data they have on their customers is beyond.

 

Bravo. Not only the data but the unethical practices against their staff which has been highlighted for years

and corporate tax avoidance.

 

I urge members to boycott Amazon, if they possibly can. You can make a difference. Be part of the solution.

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14 hours ago, Grumpy Owl said:

I came across ths story elsewhere earlier this evening, and I actually found this a little baffling.

 

I would hazard a guess that the VAST majority of Amazon shoppers in the UK pay for their goods by using a Visa credit card.

 

I neither shop at Amazon on a regular basis, nor do I have any credit card (Visa, Mastercard or otherwise).

 

As a seller on Amazon (at work), one thing I can tell you is that Amazon are very good at passing on such fees to their sellers - when France introduced their digital services tax a couple of years ago, Amazon very kindly announced to its Amazon France marketplace sellers that their commission fees would be subject to an increase, in order to offset this 'digital services tax'.

 

So all that happened was that this new 'tax', that was designed to ensure that companies like Amazon paid their 'fair share' of tax, was passed on to sellers on that platform, in the form of increased fees. 🤔

 

There will no doubt be some 'outrage' over this, and an amount of 'hand-wringing'. If Amazon customers can't pay with a VISA credit card, they stand to lose a large number of customers as a result. Of course this won't be allowed to happen, and I don't think it is going to happen, there'll be more to this that we don't know about.

 

Is Visa out of favour or in difficulty in the UK because First Direct Bank (part of HSBC) changed from Visa to Mastercard this year.

 

"First Direct has signed a multi-year debit card agreement with Mastercard, switching from Visa at the start of 2021.

First Direct has around 1.5 million customers, and has become the fourth bank in the UK to sign a debit card agreement

with Mastercard. The processing giant also provides cards for Santander, Metro Bank, and Starling Bank"

 

https://www.fintechfutures.com/2020/08/mastercard-signs-debit-card-deal-with-first-direct/

 

 

 

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8 hours ago, Golden Retriever said:

 

Is Visa out of favour or in difficulty in the UK because First Direct Bank (part of HSBC) changed from Visa to Mastercard this year.

 

"First Direct has signed a multi-year debit card agreement with Mastercard, switching from Visa at the start of 2021.

First Direct has around 1.5 million customers, and has become the fourth bank in the UK to sign a debit card agreement

with Mastercard. The processing giant also provides cards for Santander, Metro Bank, and Starling Bank"

 

https://www.fintechfutures.com/2020/08/mastercard-signs-debit-card-deal-with-first-direct/

 

 

 

 

It's all to do with credit card processing fees.

 

From: https://www.bbc.co.uk/news/business-59306200

 

Quote

An Amazon spokesperson said the dispute was to do with "pretty egregious" price rises from Visa over a number of years with no additional value to its service.

Amazon is offering £20 for Prime customers to switch from using Visa to an alternative payment method, and £10 for other customers, if they have a Visa cards as their default or only payment method on their account.

 

So it looks like Amazon are trying to 'bribe' their customers to change their payment method? 🤔

 

They can afford to give away money to encourage their customers to switch credit card provider, but can't swallow these increased fees themselves?

 

Quote

Visa shares ended Wednesday's New York trading day down by 4.7%.

 

I would hazard a guess that someone is going to make a killing by buying up shares in Visa right now, then when Amazon 'backtracks' and announces it is back on friendly terms with Visa, watch the share price increase again.

 

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3 hours ago, Grumpy Owl said:

I would hazard a guess that someone is going to make a killing by buying up shares in Visa right now, then when Amazon 'backtracks' and announces it is back on friendly terms with Visa, watch the share price increase again.

You are probably right that somebody will be working on cashing in, I still don't get why they would take Visa Debit though. Different fees I guess?

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3 hours ago, Grumpy Owl said:

I would hazard a guess that someone is going to make a killing by buying up shares in Visa right now, then when Amazon 'backtracks' and announces it is back on friendly terms with Visa, watch the share price increase again.

 

United Airlines, American Airlines just before 9/11 (not to mention the shorting that went on just before JFK was shot). The same people are always playing the same game. You have to wonder what they will spend all this money on once everyone else is broke and the economy is dead.

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18 hours ago, Sheepy said:

You are probably right that somebody will be working on cashing in, I still don't get why they would take Visa Debit though. Different fees I guess?

 

From what I gather, while there are processing fees for debit cards, these are usually lower than those for credit cards.

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I know what's coming or at least I think I do. Unvaxxed may be totally prevented from entering stores.  Not happening yet but just wait.

Online deliveries are necessary for anyone who can't go to a store. Cut out millions of people from accessing these services, and they are thrown into either HAVING to go to some kind of shop/store, or getting another card.

What does the former mean? In many cases it might mean being pushed into getting vaccinated? Very soon ve vill haf to show our PAPERS for anything ve may do!

Inch by inch folks.

Thank goodness I don't have a Visa credit card.

Whatever people might feel about Amazon, they are bloody useful for anyone who just wants something and doesn't want to, or can't go to the shops.

I feel the net is tightening around us all in so many different ways.

Edited by CrowintheSnow
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5 minutes ago, CrowintheSnow said:

I know what's coming or at least I think I do. Unvaxxed may be totally prevented from entering stores.  Not happening yet but just wait.

Online deliveries are necessary for anyone who can't go to a store. Cut out millions of people from accessing these services, and they are thrown into either HAVING to go to some kind of shop/store, or getting another card.

What does the former mean? In many cases it might mean being pushed into getting vaccinated?

Thank goodness I don't have a Visa credit card.

Whatever people might feel about Amazon, they are bloody useful for anyone who just wants something and doesn't want to, or can't go to the shops.

I feel the net is tightening around us all in so many different ways.

 

While retailers are now no longer able to 'directly' pass on card processing fees to consumers - anyone remember the days when you'd have to pay a 'surcharge' if you paid by credit card instead of debit card or cash? - generally the card processing costs are absorbed by the retailer's margin. So the consumer 'indirectly' pays these fees in the form of a slightly higher price.

 

The important thing to remember is that it is the retailer who pays for the processing fee, not the consumer.

 

Amazon is so far the only retailer that has stuck its neck out and stated that it will stop accepting payments made with Visa credit cards. Note that you can still use Visa debit cards, or Mastercard credit and debit cards.

 

I don't think that Amazon will follow through with this, and they will eventually back-track. But in the meantime, I do wonder just how many Amazon customers who only use a Visa credit card will feel obliged to sign up for a new Mastercard credit card and transfer their balance, or just start to rack up debt on this new card.

 

Or alternatively, how many would start using their debit card instead of their credit card, and then wonder why they have no money come the end of the month prior to pay-day, because they've been randomly buying stuff 'suggested for them' by Amazon.

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6 hours ago, Grumpy Owl said:

I don't think that Amazon will follow through with this, and they will eventually back-track. But in the meantime, I do wonder just how many Amazon customers who only use a Visa credit card will feel obliged to sign up for a new Mastercard credit card and transfer their balance, or just start to rack up debt on this new card.

Yes, that is likely.

6 hours ago, Grumpy Owl said:

Or alternatively, how many would start using their debit card instead of their credit card, and then wonder why they have no money come the end of the month prior to pay-day, because they've been randomly buying stuff 'suggested for them' by Amazon.

There is always, certainly, that kind of shopaholic twerp around 🙄

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