Consumer watchdog warns companies against devaluing credit card rewards, launches tool to avoid scams
Published On Dec 18, 2024, 12:59 PM
The Consumer Financial Protection Bureau (CFPB) has launched a new comparison tool for credit cards aimed at helping consumers find the best options for rewards and interest rates. This comes amid warnings that some credit card companies may be devaluing rewards through unclear terms and practices perceived as deceptive. The tool compares over 500 credit cards, providing a clearer picture of rates and benefits, promoting competition in the credit market.
Stock Forecasts
V
Positive
The launch of this tool is likely to enhance consumer awareness and competition among credit card providers, which could potentially lead to improved offers in the market. This may benefit both consumers and credit card issuers who adapt positively to the increased competition.
AXP
Negative
Increased scrutiny and potential regulatory actions against deceptive practices could put pressure on credit card companies, affecting their profitability and stock performance in the short term.
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