Visa to block some UnionPay services

SHANGHAI - Visa International, a unit of Visa Inc, the world's largest credit and debit card processor, has asked its global financial member institutions to stop international transactions through the State-owned China UnionPay system from Aug 1.

San Francisco-based Visa International has informed card-issuing banks in China that from Aug 1, international transactions made through double-currency cards with Visa and China UnionPay logos can only be settled through the Visa system.

The transactions include credit card payments and cash withdrawals at ATMs. Failure to abide by the new rules will involve a fine of $50,000 for the first violation and a monthly fine of $25,000 for further violations.