From CNBC: 2024-04-10 11:33:01

Starting this spring, late fees on store-branded credit cards will be capped at $8, down from an average of $32, as per a new rule from the CFPB. Retailers like Macy’s and Kohl’s make millions from credit card revenue, but this change will impact their bottom line and push them to find new revenue streams. Meanwhile, alternative payment methods like buy now, pay later are gaining popularity, further challenging the significance of store-branded credit cards in the retail sector. Retailers are exploring strategies to offset the loss in revenue, such as offering co-branded credit cards with additional perks and benefits.



Read more at CNBC: Store credit cards deal department stores another revenue squeeze