Walmart Canada to stop accepting Visa, states fees expensive

© Reuters. A Wal Mart shop front is seen in Toronto

By Ethan Lou TORONTO (Reuters) – Walmart Canada stores will stop accepting Visa Inc (N:-RRB- cards since the charge card service provider charges merchants “unacceptably high” charges, the seller stated on Saturday. Walmart has actually been unable to agree with Visa on an “appropriate cost” and will not accept the business’s charge card beginning July 18, it stated in a statement. The business added it still wished to reach an agreement with Visa. The decision will not affect the United States shops of parent Wal-Mart Stores Inc (N:-RRB-. “Walmart made this company choice regardless of Visa providing among the lowest rates readily available to any merchant in the country,” a Visa spokesperson said in a statement. “We are dissatisfied that Walmart decided to put their own financial interests ahead of their own consumers’ option.” Agents of Walmart Canada and Visa decreased to deal with concerns on specifics of payment terms. A Walmart Canada spokesman stated the seller pays more than C$ 100 million ($78 million) in charge card fees every year, but particular transaction fees are part of “personal agreements.” Canadian retailers have long grumbled about what they call the high interchange charges they pay charge card business. In 2014 Visa and MasterCard Inc (N:-RRB- stated they would trim Canadian transaction rates to an average effective rate of 1.5 percent, after problems about their charges almost led to government intervention. Unlike American Express Co (N:-RRB-, which normally negotiates a flat fee with every merchant, Visa and MasterCard have variable costs based upon the status of their different cards. Little merchants, which usually have less power to negotiate transaction terms, have said that harms them are never sure of the rate they will be billed in between 1 percent and 3 percent on any given deal. Walmart Canada said shops in Thunder Bay in the northwestern part of the Ontario will be the first to stop accepting Visa cards, and the modification will then be presented in phases to the remainder of the more than 370 Canadian Walmart stores. ($1 = 1.2777 Canadian dollars) Disclaimer: Combination Media would like to remind you that the information included in this website is not always real-time nor precise. All CFDs (stocks, indexes, futures) and Forex prices are not supplied by exchanges however rather by market makers, and so costs might not be accurate and might differ from the actual market price, indicating costs are a sign and not proper for trading purposes. Therefore Blend Media does n`t bear any responsibility for any trading losses you may sustain as a result of using this information. Blend Media or anyone included with Fusion Media will decline any liability for loss or damage as a result of dependence on the details including information, quotes, charts and buy/sell signals contained within this site. Please be fully informed concerning the dangers and expenses connected with trading the financial markets, it is one of the riskiest investment forms possible.

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