As inflation and unaffordability remain at high rates, Canadian consumers need all the help they can get to make sure they can make ends meet or afford the things they want to do. Reward points are vital to so many of them. Unfortunately, there are those who would do away with them for their own gain.
In an opinion piece on National Newswatch, the Convenience Industry Council of Canada (CICC) is once again calling on the federal government to cap interchange fees, citing the examples of Australia and the EU. This is just part of a recent push that will threaten your reward points once again.
What the CICC does not mention is that capping interchange fees resulted in a net-loss for consumers in Australia. Reward points programs were cut or severely scaled back, credit cards became more expensive as banks raised fees, and the value they provided decreased.
In reality, the only ones who benefit from a reduction or cap in interchange fees are businesses. Examples from other jurisdictions show that businesses pocket all the savings, passing none on to consumers. It is therefore not surprising that the opinion piece does not acknowledge affordability or consumers’ interests even in passing. What businesses want is for you not to be able to collect reward points anymore, and for their profits to increase at the same time.
We will not stand for that.
We have fought and won this battle before. We are prepared to do it again. The CCRC will always stand up for consumers’ rights, and for their ability to collect and use reward points where and how they see fit. We will redouble our work to make sure that the government does not undertake any action that could put reward points at risk.
We will continue carefully monitoring the situation and keep you posted on any developments.