Visa Canada is standing by the merchant fees it charges Walmart.
In an open letter published in a number of major newspapers, the credit card company says Walmart believes the cost to accept Visa should be lower than all other merchants—as well as charities and schools.
“And they are using their size and scale to give themselves an unfair advantage,” the letter says.
Walmart Canada announced on Saturday it will stop accepting the credit card—starting with its Thunder Bay stores on July 18—because Visa’s fees are “unacceptably high.”
Visa is accusing the retailer of “using their own customers as negotiating leverage” and “unfairly dragging millions of Canadian consumers into the middle of a business disagreement,” which it hopes can be resolved.
The company has been negotiating with Walmart for several months to work out a fair and equitable cost in return for the continued acceptance of Visa cards in their stores.
Visa says it recently offered the retailer “one of the lowest rates of any merchant in Canada.”