The different fees often make or break a deal for a merchant. This is why many merchants, especially small businesses, don't accept American Express. American Express' interchange fee is just too high. Providers like Visa and Mastercard charge between 1.15% and 2.5%, while Amex charges merchants between 1.43% and 3.3%.

American Express (Amex) is less widely accepted than Visa or Mastercard primarily because of the higher merchant discount rates it charges to businesses. While Visa and Mastercard typically charge merchants between 1.3% and 2.5% per transaction, Amex has historically charged between 2.5% and 3.5%, or even more. For small businesses with thin profit margins—like local cafes, independent boutiques, or family-run guesthouses—this extra 1% fee adds up significantly over thousands of transactions. Additionally, Amex operates as its own "closed-loop" network, whereas Visa and Mastercard are open networks that partner with thousands of banks, making their integration more universal. In many European and Asian countries, where transaction fees are more strictly regulated, the gap in acceptance is even more noticeable. However, in 2026, many major international retailers and "high-end" service providers (like airlines and luxury hotels) accept Amex because they want to attract the "high-spending" affluent cardholders that the brand typically represents. For a traveler, the best strategy is to carry an Amex for the rewards but always have a "back-up" Visa or Mastercard for smaller, local establishments.