Full Review Of Bank Of America Customized Cash Rewards Credit Card
Easily earned bonus offer for new cardholders
No annual fee
Fairly generous introductory 0% APR offer
Substantial bank or investment-account balances allow for extra cash-back bonuses
Spending caps on premium rewards earnings
Limited redemption options
Purchases at multiple-category stores do not qualify for grocery rewards
Important Disclosures And Information
Membership in the Preferred Rewards program requires that you have an active, eligible personal checking account with Bank of America® and maintain the balance required for one of the balance tiers in your combined qualifying Bank of America deposit accounts and/or your, Merrill®, investment accounts . You can satisfy the combined balance requirement for enrollment with either:
Bank Of America Rewards Program Benefits
Like many things in life, the more you put into the Preferred Rewards program, the more you get out of it. The program has a tiered structure, giving consumers more benefits the more they invest in their banking relationship with Bank of America. And while each tier has the same benefits, the value of benefits increases significantly with each tier.
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How To Move Among Preferred Rewards Tiers
You can rise from one rung to the next any month after your average daily balance for the three previous months reaches the threshold for the following tier. Once you reach a specific status level, though, you might not need to keep all your cash in the Bank of America basket. Instead, youll maintain your Preferred Rewards tier status for 12 months. If you no longer meet the qualification requirements after 12 months, you have a three-month grace period to do so. If you still dont meet the criteria after the three-month grace period, youll either be moved to a lower tier or completely lose your Preferred Rewards benefits.
That means if you reach the $100,000 average daily balance threshold for three months, Bank of America will upgrade you to Platinum Honors. Then, even if your average daily balance drops below $100,000, youll maintain Platinum Honors for a total of 15 months before being downgraded.
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Bank Of America Travel Rewards Credit Card: Great For Travel Rewards On A Budget
For travelers who want a no-nonsense travel card with a $0 annual fee, the Bank of America® Travel Rewards credit card can be a great fit. With a card that offers 1.5 points for every $1 spent with no earning limits or points expiration its easy to track your points based on your spending.
Bank of America® Travel Rewards credit card has a $0 annual fee and no foreign transaction fees, which can help budget travelers save on fees for purchases made abroad.
Bank of America currently offers a sign-up bonus of 25,000 bonus points after spending $1,000 on the card in the first 90 days.
If youd like to read more, check out our full review of Bank of America® Travel Rewards credit card.
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Bank Of America Premium Rewards Vs Citi Premier Card
Both the Citi Premier and Bank of America Premium Rewards cards carry a $95 annual fee, but that fee will quickly pay for itself with how quickly points can accrue. Citi Premier offers 3x points in several spending categories: air travel and hotels, restaurants, supermarkets and gas stations. It also offers 1 point per dollar on all other purchases.When deciding which card is a better match for your needs, youll want to consider your spending habits and whether you intend to use your card for both everyday purchases and travel.
Whereas the Premium Rewards card offers up to $100 in statement credits for airline incidental purchases each year,the Citi Premier card offers an annual hotel savings benefit that lets you take $100 off an eligible hotel stay of at least $500. If you take advantage of this benefit, youll offset the cost of the cards $95 annual fee.
For frequent travelers, either card could be a good value. The choice might come down to whether or not you are a Bank of America customer, or wish to set up an account there, to maximize the rewards.
Whats Ahead For Bofas Rewards Program
Further integration with Erica, Bank of Americas digital assistant, is ongoing, according to Sellers. For example, with the annual review video mentioned above, rewards members who are Erica users will get a text message prompting them to check it out.
In addition, Sellers says members will be able to ask questions of Erica about their rewards available points or dollars to redeem, for example. The text and voice-enabled app, powered by artificial intelligence, will also begin proactively putting rewards information in front of clients, Seller says. One example: Did you realize you just hit a milestone $500 in rewards value for the year?
Well be able to give our clients gentle reminders about the value they have built up and how to take advantage of other rewards, Sellers states.
The executive says they will further develop the BankAmeriDeals infrastructure, making it more robust so clients can get more, and more relevant, offers, including local offers as opposed to those from national chains.
Originally the plan was for in-person events, but the pandemic forced a redirect to the live-stream format. Sellers says they really liked the results and are looking to do more streaming events.
This article was originally published on January 6, 2021. All content © 2022 by The Financial Brand and may not be reproduced by any means without permission.
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Bank Of America Unlimited Cash Rewards Credit Card
The Bank of America Unlimited Cash Rewards credit card is great for folks who dont want to keep track of multiple bonus categories, but who still want to earn at a strong fixed rate on all their purchases. Cardholders earn unlimited 1.5% cash-back rewards on all purchases with no limit.
Platinum Honors and higher members would actually get back 2.625% on all your purchases one of the best rewards rates any card offers for non-bonus everyday purchases.
What Happens If Your Balances Drop
No need to worry if your balances dip temporarily, you’ll keep your Preferred Rewards program status for at least a full year. If after a year you no longer meet the balance requirement, you’ll have a three-month grace period. If you havent met the balance requirement after three months, you’ll be moved to a lower tier or lose your Preferred Rewards benefits.
We’ll reinstate your Preferred Rewards status if you meet the requirements at a later date.
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When Is The Preferred Rewards Program Worth It
Any individual who qualifies for the Platinum rewards tier, or has on average 3-month of investment activity on their banking account, will easily benefit greatly from the program. The credit card rewards bonus alone makes the program a game changer for everyday spending to accumulate cashback on regular everyday spending.
Bank Of America Premium Rewards Benefits
The Bank of America Premium Rewards card offers ample benefits, including a great rewards program, a competitive signup bonus, and generous travel perks.
New cardholders can earn 50,000 points after spending $3,000 on purchases within the first 90 days of opening their account.
The Bank of America Premium Rewards card offers a generous 1.5 points per $1 spent on all purchases and two points per $1 spent on travel and dining. This is a very competitive rewards rate, especially as there are no limits to the bonus rewards you can earn, and you dont need to worry about keeping track of rotating bonus categories.
If you have at least $20,000 across your Bank of America or Merrill Lynch accounts, you can qualify for BoAs Preferred Rewards program. There are three tiers of Preferred Rewards clients: Gold, Platinum, and Platinum Honors. Gold members get a 25% rewards bonus Platinum members with at least $50,000 invested get a 50% rewards bonus and Platinum Honors members with at least $100,000 invested get a 75% rewards bonus. This means you could earn as much as 2.62 rewards points per dollar spent on all purchases and 3.5 rewards points per dollar on travel and dining purchases.
Travelers will love the Bank of America Premium Rewards card. Theres no foreign transaction fee for using your card abroad, plus you earn bonus rewards for all travel purchases. The travel card comes with plenty of additional travel benefits, too.
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Disqualified Accounts For Bank Of America Preferred Rewards
All accounts must be personal accountsbusiness accounts or commercial accounts do not qualify for the Preferred Rewards program. Other disqualified account types include:
- Irrevocable trust accounts
- Uniform Transfers to Minors Acts and Uniform Gifts to Minors Act accounts
- Employee benefit plans accounts) and annuities managed by Bank of America or Merrill
Mortgage Origination Fee Reduction
Anytime you can cut down on fees for buying or refinancing a home, you should. Preferred Rewards members are eligible to receive this particular discount beginning three business days after the end of the calendar month in which you satisfy the Preferred Rewards tier qualification requirements.
The origination fee reduction cant exceed the amount of the lender origination fee. The Preferred Rewards fee reduction isnt transferable. And you may not be able to combine this fee reduction with other discounts.
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Join The Preferred Rewards Program To Earn More Rewards
If you want to boost your rewards-earning potential on eligible cards by up to 75%, it may be worth considering joining Bank of Americas Preferred Rewards program. But to do so youll have to first qualify by having an eligible Bank of America checking account and have a minimum of $20,000 combined in qualifying Bank of America deposit accounts and/or Merrill investment accounts.
Heres how the requirements and bonus rewards break down for each tier.
- Gold: $20,000 minimum 3-month combined average daily balance 25% bonus rewards
- Platinum: $50,000 minimum 3-month combined average daily balance 50% bonus rewards
- Platinum Honors: $100,000 minimum 3-month combined average daily balance 75% bonus rewards
Although youll need to initiate enrollment in the program on your own, once youre in, your balances will be checked monthly to see if you qualify for a higher tier. And dont worry: Even if your balances fall below the $20,000 minimum, youll still get to stay in the program for a year after you enroll.
All For A Low $95 Annual Fee6
Talk to your MerrillÂ® advisor today to apply or to learn more about the Bank of AmericaÂ® Premium RewardsÂ® credit card.This offer may not be available if you visit Bank of America Financial Centers, or when calling Bank of America.
1 Bonus Points Offer. You will qualify for 50,000 bonus points if you use your new credit card account to make any combination of Purchase transactions totaling at least $3,000 that post to your account within 90 days of the account open date. Limit 1 bonus points offer per new account. This one-time promotion is limited to customers opening a new account in response to this offer and will not apply to requests to convert existing accounts. Your account must be open with active charging privileges in order to receive this offer. Other advertised promotional bonus points offers can vary from this promotion and may not be substituted. Allow 8-12 weeks from qualifying for the bonus points to post to your rewards balance. The value of this reward may constitute taxable income to you. You may be issued an Internal Revenue Service Form 1099 that reflects the value of such reward. Please consult your tax advisor, as neither we, nor our affiliates, provide tax advice.
A three-month combined average daily balance in your qualifying deposit and investment accounts.
Bank of America, the Bank of America logo, Premium Rewards, Cash Management Account, and the Bull symbol are registered trademarks of Bank of America Corporation.
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How Do I Become A Bank Of America Preferred Rewards Diamond Or Diamond Honors Tier Member
To qualify for the Diamond or Diamond Honors tier, you need to have an open and active personal checking account with Bank of America and maintain a three-month combined average daily balance of $1,000,000 for Diamond or $10,000,000 for Diamond Honors in your qualifying Bank of America deposit accounts, Bank of America Private Bank accounts and/or Merrill investment accounts. The lowest tier Private Bank clients will be enrolled in is the Diamond tier regardless of balance. Theres no fee to join and once you do, activating your benefits is easy. .
Tracking The Numbers And Your Tier
After you enroll, you can track your program balance on your Preferred Rewards Summary in Online Banking or in the Mobile Banking app. By increasing your program balance, you can move to a higher Preferred Rewards tier and enjoy more benefits and rewards.
We’ll review your program balance at the beginning of each month to see if you’ve reached a higher tier. If so, you’ll automatically receive a tier upgrade.
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Merrill Guided Investing Fee Discount
Preferred Rewards members enjoy a fee discount when utilizing Merrill Guided Investing services. You can get started with as little as $1,000 for Merrill Guided Investing or $20,000 for Merrill Guided Investing with an advisor.
Merrill Guided Investing typically charges a fee of 0.45% of assets under management, and Merrill Guided Investing with an advisor typically charges a fee of 0.85% of assets under management. While those fees might seem small, they add up over time. As such, these charges can turn into a compound drain on your investments as they increase. So, it may be best to look for a financial advisor that charges a fixed fee instead of a percentage of your assets.
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Who Is The Bank Of America Premium Rewards Card Best For
Bank of America customers looking for a flexible travel rewards credit card that is great for travel domestically or abroad can benefit from the Premium Rewards card. If you do not qualify for the Preferred Rewards, you may be able to find a better travel rewards card, such as Citi Premier, which offers 3x rewards in many travel- and leisure-related categories, as well as groceries.
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Preferred Rewards Compared To Premium Banking
Bank customers who are familiar with premium banking services will find Bank of America’s Preferred Rewards program similar in terms of the types of perks being offered.
The biggest difference with this program is that there is an incentive for maintaining an account for an extended period of time.
If you manage a Merrill Edge account and regularly bank with Bank of America, the perks offered from this program can be beneficial.
There are no groundbreaking incentives for switching your money over to a new Bank of America account Preferred Rewards program, as opposed to a premium checking account elsewhere.
However, if you already maintain relations with the bank, or are interested in moving your banking services elsewhere, this new account can be appealing.
How Can I Move To A Higher Preferred Rewards Tier
You can move to a higher Preferred Rewards tier – and enjoy more benefits and rewards – by increasing your qualifying Bank of America® deposit accounts, Bank of America Private Bank accounts and/or Merrill® investment balances. Every month, we’ll review your program balance to see if you’ve reached a higher tier. If so, you’ll receive an automatic tier upgrade.
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How To Maximize Cash
To maximize the Bank of America Preferred Rewards program, youll want to qualify for at least Platinum Honors and be eligible for the 75% bonus on your credit card rewards. Of course, its not a great idea to make big investment and banking decisions based entirely on credit card bonuses. However, it may be worthwhile if you already plan to invest in Merrill and have an existing banking relationship with Bank of America. If you do, here are some of the banks rewards cards to consider, and how you can maximize your cash-back earning with them.
Bank Of America Premium Rewards Credit Card
The Bank of America Premium Rewards credit card is an excellent fixed-value card in its own right. But it gets even more competitive when you add in the bonuses from the Preferred Rewards program.
The card charges a $95 annual fee and offers a modest selection of benefits. For example, cardholders get an up-to-$100 annual airline incidental fee statement credit, a Global Entry or TSA PreCheck application fee credit every four years and some decent travel protections.
However, this card shines with its earning rates on everyday spending as well as travel and dining purchases. Heres how the earning rates stack up once you consider the Preferred Rewards credit card rewards bonus:
|2.25 points per dollar||2.625 points per dollar|
You can redeem points from the Bank of America Premium Rewards card at a rate of 1 cent apiece for gift cards and purchases through the Bank of America Travel Center, as a statement credit to your credit card, and as cash deposits into Bank of America checking and savings accounts or eligible Merrill Edge and Merrill Lynch accounts. So you can get a return of at least 2.625% on all purchases with this card if you hold Preferred Rewards Platinum Honors status. This great return makes the Bank of America Premium Rewards credit card one of the best credit cards for everyday spending.
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