Walmart Canada to stop accepting Visa, says costs expensive

Walmart Canada stores will stop
accepting Visa Inc cards as the charge card company
charges merchants “unacceptably high” fees, the retailer said on
Saturday. Walmart has been unable to concur with Visa on an “acceptable.
charge,” and will not accept the business’s charge card.
starting July 18, it stated in a statement. The move will not impact the U.S. stores of moms and dad Wal-Mart.
Stores Inc. A Visa spokesperson stated in a statement it offers “one of the.
lowest rates readily available to any merchant in the nation” and said.
Walmart Canada’s decision will have a negative influence on.
buyers. Agents of Walmart Canada and Visa decreased to.
address concerns on specifics of payment terms.

A Walmart Canada spokesman said the retailer pays more than.
C$ 100 million ($ 78.27 million) in charge card charges every year,.
however specific transaction fees are part of “personal.
contracts.” Canadian merchants have long grumbled about exactly what they call.
the high interchange charges they pay charge card business.

In 2014 Visa and MasterCard Inc stated they would cut.
Canadian deal rates to an average reliable rate of 1.5.
percent, after complaints about their charges almost led to.
government intervention. Unlike American Express Co, which usually works out a.
flat fee with every merchant, Visa and MasterCard have variable.
costs based on the status of their different cards.

Small sellers, which usually have less power to work out.
deal terms, have actually said that injures them as they are never.
sure of the precise rate they will be billed in between 1 percent and.
3 percent on any provided transaction. Walmart Canada said stores in Thunder Bay in the.
northwestern part of the Ontario province will be the first to.
stop accepting Visa cards, and the change will then be rolled.
out “in phases” to the rest of the more than 370 Canadian.
Walmart stores. ($ 1 = 1.2777 Canadian dollars).

( Reporting by Ethan Lou in Toronto; Modifying by Bill Rigby).

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