Weekend Edition / Dear Ohad...
Visa fee changes hit in January, and banks are already tightening rewards. Most businesses won’t notice until their earn rate drops. If you spend 6 figures a year, this is the week to shift to stronger cards and protect your points before the devaluations land.
I’m Jamie from Boston.
I run a 14-person marketing agency and this week my bank sent me a notice that Visa interchange fees are changing again in January.
My rep hinted that rewards might get worse, and now I’m wondering: Should I be worried about my points strategy getting devalued? And is there anything I should do before year-end to protect the value of the points we earn? Thanks!
Dear Jamie,
Short answer: yes, you should care - but no, this isn’t a panic situation. Interchange shifts always trigger noise, but the business owner who knows how banks actually respond has the advantage.
Let’s break it down 👇🏻
Step 1: Understand What Interchange Changes Really Mean
When banks anticipate lower interchange revenue, they don’t send you a polite note.
They quietly tighten reward structures in Q1 and Q2:
- bonus categories shrink
- “2x everywhere” becomes “2x up to $X per month”
- new cards launch with flashy bonuses but weaker long-term earn
The devaluation hits slowly. Entrepreneurs who ignore this get squeezed.
Step 2: Protect Yourself Before January
You don’t need to burn points - you need to lock in earning power.
That means:
- shift spend toward cards that historically withstand interchange compression (Amex Biz Gold, Chase Ink Preferred, Capital One Spark Travel)
- lock in any year-end bonuses or threshold spend now
- avoid opening cards with promo earn structures that will likely shrink in Q1
Your goal isn’t more cards - it’s more stability.
Step 3: Move Points Out of Weak Ecosystems
Not all currencies weather turbulence the same way.
Right now, bank programs under the most margin pressure are the ones most likely to tighten:
- lower-value fixed-rate portals
- co-branded cards with dwindling airline partnerships
- issuers offering “promo categories” that look too good to last
Transfer your balances to flexible, strong partners where award charts historically hold up - especially for international business-class sweet spots.
Step 4: Use Your Points Intelligently - Not Emotionally
Devaluation doesn’t mean “redeem everything immediately.”
It means:
- redeem for high-value flights (100K+ redemptions)
- avoid portal cash-outs
- stop wasting points on 1–2 cent domestic routes
If a redemption gives you 8–12¢ per point on long-haul business class, inflation can’t touch you.
Final Approach
Interchange changes are coming - and most SMBs will wake up to worse earn rates by spring.
But the business owner who understands the game can actually increase their ROI by shifting spend strategically, moving points to resilient currencies, and only redeeming where value multiples are undeniable.
You don’t lose when programs change - you lose when you’re not prepared.
--Ohad
