Amazon and Visa reach a global truce on credit card fees

Visa payment cards placed on a computer keyboard.

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Amazon Have reached a global agreement with Visa To settle a dispute over the credit card giant’s fees.

The deal means that Amazon UK customers can continue to use Visa credit cards, such as previously announced by the two companies. Amazon will also drop a 0.5% surcharge on Visa credit card transactions in Singapore and Australia, which it introduced last year.

Last month, Amazon said it had dropped plans to stop accepting Visa credit cards in Britain, two days before the expected change occurred. The two companies said at the time that they would continue talks about a broader resolution of their dispute.

“We recently reached a global agreement with Visa that allows all customers to continue to use their Visa credit cards in our stores,” an Amazon spokesperson told CNBC via email. “Amazon remains committed to providing customers with a convenient payment experience and providing them with choice.”

Amazon has been pressing Visa to cut its fees, in a series of moves that signaled growing frustration from retailers about costs associated with major card networks, as well as the e-commerce giant’s market power and influence over its partners.

the likes of Visa, Master Card Credit Card And American Express Now facing stiff competition from a deluge of fintech competitors, fromBuy now, pay later“Services like Klarna to open banking, a technology that allows startups to effectively bypass traditional payment methods such as cards.

In a statement emailed to CNBC, Visa said its agreement with Amazon will also see the two collaborate on “new product and technology initiatives to ensure innovative payment experiences for our customers in the future.”

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The two companies declined to comment further on the terms of their agreement when asked by CNBC.

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