I don't understand. Are you objecting to "cheaper purchases" or "no downside"?
Yes the prices go up to subsidize the merchant fees. But they don't go up as much as I save in CC rewards, because my rewards are subsidized by people not using the card or using it poorly. I have 5% and 10% cards in certain categories and a 3% in all; abolishment of cards would never drop prices by that much.
As far as downside goes I've been paying with cc exclusively for a decade and I've never paid a cent of interest, so I'm not sure what it would be.
Comments
I don't understand. Are you objecting to "cheaper purchases" or "no downside"?
Yes the prices go up to subsidize the merchant fees. But they don't go up as much as I save in CC rewards, because my rewards are subsidized by people not using the card or using it poorly. I have 5% and 10% cards in certain categories and a 3% in all; abolishment of cards would never drop prices by that much.
As far as downside goes I've been paying with cc exclusively for a decade and I've never paid a cent of interest, so I'm not sure what it would be.