eBay to stop taking American Express as payment option in August, PYMTS reports

eBay (EBAY) will stop taking American Express (AXP) as a payment option starting August 17 as the credit card company’s fees are too steep, the company confirmed to PYMNTS. “At a time when payment processing costs should be declining because of technological advancements, investments in fraud capabilities and customer protections by merchants like eBay, credit card transaction fees continue to rise unabated because of a lack of meaningful competition,” eBay said. eBay added that its customers have been notified about the change, and says its internal research shows that a wide majority of its users “are willing to use alternative payment options to continue enjoying buying and selling on our marketplace.” A spokesperson for American Express said: “We are disappointed that eBay made the decision to stop accepting American Express Cards as of August 17th, 2024. By doing so, they will limit customers’ payment choices and take away the service, security, and rewards that customers value when paying with American Express. Our research tells us that in the U.S. the cost of acceptance for American Express is comparable to what eBay pays for similar cards on other networks. We find eBay’s decision to drop American Express as a payment choice for consumers to be inconsistent with their stated desire to increase competition at the point of sale.”