Processing payments in Russia is going to be very difficult as Visa, MasterCard and PayPal will suspend operations in the country in response to Russia’s invasion of Ukraine.
“We have decided to suspend our network services in Russia,” Mastercard said in a statement. “This decision follows our recent action to block multiple financial institutions from the MasterCard payment network, as required by regulators globally.
“Cards issued by Russian banks will no longer be supported by the MasterCard network. And, any MasterCard issued outside the country will not work at Russian merchants or ATMs,” MasterCard said.
Visa said it would “close all Visa transactions in the coming days” in Russia. “Once completed, all transactions initiated with Visa cards issued in Russia will no longer operate outside the country and any Visa cards issued by financial institutions outside Russia will no longer operate within the Russian Federation. Will not work.”
“We are compelled to take action following Russia’s unprovoked invasion of Ukraine and unacceptable incidents,” Al Kelly, president and CEO of Visa Inc., said in a statement. “We regret the loss it will inflict on our valued allies and customers, partners, merchants and cardholders we serve in Russia. This ongoing threat to war and peace and stability demands that we respond in line with our values.”
On Twitter, the Deputy Prime Minister of Ukraine, Mykhailo Fedorov, shared a letter From PayPal President and CEO Dan Schulman, in which he said PayPal would also suspend the service in Russia, while “enabling our customers and our global employee community to support efforts to provide humanitarian relief in Ukraine.”
trick comes after Ukrainian President Volodymyr Zelensky speaks to US senators zoom call this morning, during which he urged action on the commercial transaction, CNN reports.