Visa-Mastercard Deal Rattles Consumers’ Credit Card Rewards Math

Picture this: A customer walks into a grocery store just looking to buy a carton of milk and a dozen eggs. But when they get to checkout, they’re suddenly faced with a choice: if they pay with a Chase Freedom Unlimited card it’ll be one price. But if they whip out a $550-a-year Chase Sapphire Reserve, it could cost them more.

That’s the new reality laid out in a landmark agreement struck between Visa Inc. and Mastercard Inc. and millions of US merchants on Tuesday, in which the payment giants agreed to a series of changes that retailers say will ...