Maybe in this case of the Fidelity card it won't, but my guess is that if they changed their card to offer 1.75%, many people would continue to use the card. So, why would they keep it at 2%? Then maybe 1.5%. I agree that today the Fidelity card is worth it. We'll see if that continues to be the case.
OH PLEASE! This is getting pathetic. Enough of this. If you don't want the card, fine. Free money is free money, and I, as well as a few others will take free money when it is handed to me. The Fidelity/MBNA card has been around about 3 years now. It's rebate amount hasn't changed, and more than that, it's survived the B of A takeover of MBNA. What reason do they have to keep it at 2%? Maybe because that is how they entice new cardholders? Hey - sure, maybe they will reduce the amount from 2% - then, on the other hand, maybe Citibank decides not to participate in the UPromise program anymore and you don't even get your measely 1% up to $300 a year? Or maybe Citibank reduces from 1% to 1/2%? What reason do they have for giving even 1%?
We know what is here today, nobody knows what will happen tomorrow. If you don't like what the card has to offer, or it doesn't work for you, then fine. Dream of all the scenarios to shoot holes in it as you like to justify your belief. In the mean time, the 2% continues as does the $1500/year rebate limit.