Chase’s Big Cost Advantage Makes it Possible to Fund Rich Rewards, Re-Sign Partners

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    The biggest long-term threat to rewards credit cards is declining interchange fees, as the cost to process transactions falls each dollar pushed through a card's network is less valuable and thus less worth incentivizing with miles or other rebates. And indeed, Chase's interchange fee income fell 2% in the first half of 2015 despite greater charge volume. But Chase has a deal with Visa that allows it to get aggressive hanging onto partners and bringing new ones on -- and it's highly-incentivized to do so. Continue reading Chase’s Big Cost Advantage Makes it Possible to Fund Rich Rewards, Re-Sign Partners...

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