A federal consumer watchdog is warning that certain credit card companies may be illegally devaluing accrued rewards such as points or airline miles. The Consumer Financial Protection Bureau said Wednesday that companies may violate federal law if fine print disclaimers or vague terms buried in a contract conflict with promotional language, if companies deflate the value of a customer’s accrued awards, or if system failures result in consumers losing points when attempting to redeem them.
The tool essentially provides an "apples-to-apples" comparison of options in the credit card market using data that's available to the public. The CFPB said the tool "provides unbiased, comprehensive data" for more than 500 cards. It lets customers evaluate them based on credit score range, interest rates, fees and rewards offerings.