Visa: Amazon To Stop Accepting UK Visa Credit Cards in 2022
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A version of this was also published on my Twitter account.
Introduction: Visa shares are down more than 5% this morning (November 17) after reports that Amazon will stop accepting UK Visa credit cards in 2022. We look at the background and likely impact of this development below. Ultimately, we believe this has limited read-across for Visa’s global business, being a UK-specific situation and part of a longstanding back-and-forth between merchants and card networks, and Visa remains Buy-rated in our coverage.
Amazon To Stop Accepting UK Visa Credit Cards in 2022
Reports appeared this morning that Amazon will stop accepting Visa credit cards issued in the UK from 2022, based on Amazon messages to customers this week. Visa debit cards, and credit cards issued by Mastercard and American Express, are apparently not affected. This was understood to be a response to Visa’s recent fee increases. A Visa spokesperson stated that "we continue to work toward a resolution":
Source: Bloomberg (17-Nov-…