The benefits are gradually eroding for Chase Continental OnePass debit cardholders. First the first checked bag free benefit was taken away and now cardholders will no longer earn miles for purchases beginning July 12, 2011. The change is in response to the Durbin Amendment, a new law that allows the Federal Reserve to regulate the interchange fees that banks are allowed to charge merchants for purchases made with debit cards. The Fed is expected to reduce these fees by as much as 50 percent, which means that banks will earn less revenue from debit cards. As a result, banks such as Chase are scaling back debit cards and eliminating debit card benefits. Chase Continental OnePass debit cardholders will continue to earn miles for debit card purchases until July 12, 2011. For more information, visit http://www.webflyer.com/link/?4247

Bottom line: At the time of going to press, the Durbin Amendment was set to take effect on April 22 but is seeing opposition in the legislature so might be postponed. If it does go through, there’s speculation that other airlines’ debit cards could stop awarding miles. Currently, American, Delta and US Airways offer a co-branded debit card. United no longer offers a debit card.