While this rightfully exposes the games that credit card companies play for you to get your points, the real problem is that credit card rewards are yet another

While this rightfully exposes the games that credit card companies play for you to get your points, the real problem is that credit card rewards are yet another transfer of wealth from poor to rich, and affect everyone, even if you use cash. https://www.federalreserve.gov/econres/feds/files/2023007pap.pdf https://www.federalreserve.gov/econres/feds/files/2023007pap... > Comparing cards with and without rewards, we find that, regardless of income, sophisticated individuals profit from reward credit cards at the expense of naive consumers. > We estimate an aggregate annual redistribution of $15 billion from less to more educated, poorer to richer, and high to low minority areas, widening existing disparities. > Second, we contribute to the literature on reward credit cards, which has largely focused on interchange fees as a source of funding for credit card rewards. Interchange fees get passed through to merchants, which potentially respond by increasing retail prices for all consumers. Thus, credit card rewards might to some extent be funded by cash and debit card users who pay higher prices without receiving any rewards to compensate.