If you've signed up for frequent flyer miles or other reward point programs with your credit card company one expert says you should use your earned rewards now.
Robert McKinley, who is the founder of CardTrak.com, notes that credit card companies are increasing interest rates and fees and cutting credit limits to make up for the losses from cardholders defaulting on their debt. What's next? McKinley says companies will trim their costs by reducing the value of rewards or even eliminating the programs. He told Consumer Reports:
"Rewards programs cut into profits, and issuers can make changes in them faster than they can with other card terms, so you may suddenly get a letter saying that you need more points for airline seats or that the rewards program is over, effective immediately."
I suggest logging on to your account or calling up your credit card company to see how many points you have racked up. It may be time to take a short vacay on your miles instead of cutting into your budget.