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Credit card rewards are quite stupid, though, as it obviously requires way higher credit card fees than if they weren't a thing. Customers just end up buying hi
by kristofferR 4y ago
Credit card rewards are quite stupid, though, as it obviously requires way higher credit card fees than if they weren't a thing. Customers just end up buying higher priced products and potentially getting the higher price difference back as rewards.
In Norway a card transaction with the national system BankAxept costs 0,06% + ~$1 cent per transaction [1], in the US the fees are usually at least a percentage point or two.
[1] https://vipps.no/alle-priser/bedrift/bankaxept-priser/ https://vipps.no/alle-priser/bedrift/bankaxept-priser/
- josephcsible 4y agoBut we do have some credit cards that don't offer rewards, and they don't charge any lower fees to merchants than ones that do offer rewards do.
- bigjimmyk3 4y agoAs a former merchant, this was not my experience -- I recall seeing a notable difference between fees on similar transactions, and the tracing those differences back to rewards cards.
- josephcsible 4y agoDo you remember the brand of any of the credit cards with the lower-than-usual fees?
- kristofferR 4y agoIt's not about the card per se, it's about the network. Visa/Mastercard in Norway is about as expensive as in the US. The US doesn't have a widespread miniscule fee/no rewards card network option however, like BankAxept is in Norway.