Amazon to stop accepting Visa credit cards from January 2022 – here’s all you need to know

GalacticaActual

I received an email from Amazon this morning (17th February 2022) to say Amazon have reached a global agreement with Visa and all customers can continue to use their Visa credit cards at Amazon:

phillw

eskbanker said:
Wouldn't necessarily disagree with any of that but my point was that this is essentially a highly localised issue and therefore unlikely to be a significant impact on a massive global business like Visa, so a reduction in Visa revenue arising from Amazon's UK arm (or UK banks) moving to Mastercard will only be a minor dent in corporate terms and so wouldn't have had any material lasting impact on the share price, etc, hence the five-year charts for Mastercard and Visa not diverging particularly significantly.

Whether it has an impact on the share price is down to the shareholders.

I would have thought Amazon would have tried to get a solution before offering people £5 to switch cards & Visa must have been worried about losing the business to come up with a solution.

WillPS

phillw said:

eskbanker said:
Wouldn't necessarily disagree with any of that but my point was that this is essentially a highly localised issue and therefore unlikely to be a significant impact on a massive global business like Visa, so a reduction in Visa revenue arising from Amazon's UK arm (or UK banks) moving to Mastercard will only be a minor dent in corporate terms and so wouldn't have had any material lasting impact on the share price, etc, hence the five-year charts for Mastercard and Visa not diverging particularly significantly.

Whether it has an impact on the share price is down to the shareholders.

I would have thought Amazon would have tried to get a solution before offering people £5 to switch cards & Visa must have been worried about losing the business to come up with a solution.

I suspect it was a show of force and a demonstration that Amazon would be in no hurry to re-enter negotiations if Visa didn't acquiesce. Of course we don't know the ins and outs of the deal but I presume it'd be more of a problem for Visa than it would have been for Amazon.

cx6

Am I reading the recent announcement correct - they shiny new Amazon Mastercard card I have will not be valid after January 2023 as NewDay are pulling out?

Dandytf

cx6 said:

Am I reading the recent announcement correct - they shiny new Amazon Mastercard card I have will not be valid after January 2023 as NewDay are pulling out?

to be auto replaced with newday 'pulse' cashback card.

thanks

eskbanker

MSE's piece about this is https://www.moneysavingexpert.com/news/2022/03/amazon-classic-and-platinum-credit-cards-will-be-scrapped-from-j/ but for some bizarre reason the associated 'official' forum thread has been posted on the TV MoneySaving board!

https://forums.moneysavingexpert.com/discussion/6341501/amazon-classic-and-platinum-credit-cards-will-be-scrapped-from-january-2023

ampersand

eskbanker -
I've just seen it for the first time on an Edinburgh Live link!