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I had always heard that but I don't think I'd need both hands to count the number of times I've had to use something else. I know it's due to the higher fee the merchant pays, but I don't know why Discover gets dinged for that when Amex is the same deal and Amex charges you an annual fee for the privilege! 😆
Most of my life I just used my Visa branded debit card, but for a while BOA had the Better Balance card that paid you $25/quarter if you paid off the card each month or something like that, so I put my Internet bill on it every month, paid it, and got $100/year for doing nothing.
They scrapped that awesome deal last year and converted it to a regular 1-2% cash back card, BUT they added on the free doubling of the manufacturer warranty! So now big purchases, like when my TV died go on there, and the humdrum everyday items still go on Discover. Most of the year the BOA card just sits empty, and the available balance just pads my debt/asset ratio.
Consumers can still play these games back against the credit companies if they're careful! Over the years, I've gotten much more out of them than they've gotten from me.