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Smith’s grocery stores to stop accepting Visa credit payments from customers

By Standard-Examiner - | Mar 1, 2019

One of Utah’s most abundant grocery retailers announced it would no longer be accepting Visa credit forms of payment from its customers.

Smith’s cited “excessive interchange and network fees” by Visa and its issuing banks charging retailers that reportedly drives up food prices. In a press release, Smith’s stated that Visa’s fees were the highest of any credit card it accepts.

“Visa has been misusing its position and charging retailers excessive fees for a long time,” said Mike Schlotman, Kroger’s executive vice president and CFO, in a press release. “They conceal from customers what Visa and its banks charge retailers to accept Visa credit cards. At Smith’s, Visa’s credit card fees are higher than any other credit card brand that we accept. Visa’s excessive fees and unfairness cannot continue to go unchecked. That’s why, starting April 3, Smith’s will accept all forms of payment except Visa credit cards.”

Other forms of credit payment and Visa debit are still going to be accepted after April 3.

Smith’s operates 55 stores in Utah, with at least seven in Utah County, and at least 100 other locations throughout the west.

According to the company, Smith’s is the second Kroger banner to cease acceptance of Visa credit cards.

Starting at $4.32/week.

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