Smith’s Food and Drug lifts ban on Visa credit cards

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ST. GEORGE — After a seven-month ban on accepting Visa credit cards, Smith’s Food and Drug announced Wednesday that the ban had been lifted, and the credit card could once again be used at the supermarket.

The Kroger-owned supermarket chain announced earlier this year that it would no longer accept Visa credit cards due to having “excessive interchange fees” that were higher than other credit cards. Those fees, Smith’s argued, cut into store margins that threatened the supermarket’s ability to stay competitive.

The ban started April 3 with Smith’s still accepting Visa debit cards and other major credit cards.

Smith’s posted the news that it is once again accepting Visa credit cards on a notice posted to the top of its website Wednesday.

“We now accept Visa credit cards, plus MasterCard, American Express, Discover and all debit and HSA cards,” the announcement stated.

According the various media outlets, of the various stores operated by Kroger, only Smith’s has been confirmed as accepting Visa credit cards once more. There have not been any details as to why the ban was lifted and if the dispute between the food company and Visa over fees had been resolved.

Smith’s operates 55 stores in Utah, 45 stores in Nevada, 23 stores in New Mexico, seven stores in Wyoming and four stores each in Idaho, Montana and Northern Arizona.

The Associated Press contributed to this story.

Copyright St. George News, LLC, 2019, all rights reserved.

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