article_snippet.sent: Millions of Britons could lose credit card perks such as cash bonuses and air miles because of EU legislation.
article_snippet.sent: yesterday has also warned existing customers that the loyalty points yesterday earn will be much lower from June 1.
article_snippet.sent: Kevin Mountford, of price comparison website MoneySupermarket, told the Daily Telegraph: 'This is a classic case of regulators, in this case European, trying to act with the consumer in mind, only for the policy to come back to bite the very people the policy was supposed to help. '
article_snippet.sent: the policy new rules won't just hit cashback cards, all loyalty programmes are at risk because something will have to give when card companies are squeezed.'
article_snippet.sent: Several credit card companies – including American Express, Barclaycard, and Santander – have millions of customers who earn hundreds of pounds or free flights if Several credit card companies – including American Express, Barclaycard, and Santander – clear Several credit card companies – including American Express, Barclaycard, and Santander – debts every month.
article_snippet.sent: Capital One, which pays card-holders 5p for every £1 cleared, has written to customers warning that the amount they earn will be much lower from June 1.
article_snippet.sent: It said that fees paid by merchants such as shops and restaurants to accept cards are being reduced, and it was these fees which had funded fees paid by merchants such as shops and restaurants to accept cards are being reduced cashback.
article_snippet.sent: It said It would not be increasing fees or charges as a result of the changes.
article_snippet.sent: Rachel Springall, of financial information website Moneyfacts, said: 'The changes from Capital One could be the starting point for a change to reward schemes because of the new ruling on interchange fees. '
article_snippet.sent: Instead of adding on card fees, providers will be looking at other ways to re-coup providers costs and one of the ways to do this is to withdraw reward schemes or interest-free offers. 