If you are a newcomer to credit cards, then you might wonder, “Are Bank of America credit cards good?” Before deciding to apply for a new card, make sure you check your credit score. If you find that you have a low score, you may want to try a secured credit card or a student card instead.
Preferred Rewards Credit Card
When you enroll in the Preferred Rewards program, you can get a 25% — 75% rewards bonus on all eligible Bank of America® credit cards.
Plus, as a Preferred Rewards member, you enjoy real benefits and rewards on your everyday Bank of America® banking and Merrill investment accounts. And as your qualifying balances grow, so do your benefits.
If you have a Bank of America account, you can enroll in the Bank of America Preferred Rewards program. All you have to do is log in to your online banking account. Then, select the appropriate tier to enroll in the program. The benefits of the Preferred Rewards program increase with higher tiers.
If you have a Bank of America credit card and you are an elite member of their Preferred Rewards program, you’ll be rewarded for spending responsibly. You can earn up to 75 percent more rewards than non-Preferred Rewards members. This is a major benefit, as you’ll earn more points and cash back.
The Preferred Rewards program has three tiers: Gold, Platinum, and Platinum Honors. Your tier is determined by the qualifying combined balances in your Merrill® investment and/or Bank of America® deposit accounts. Once you join Preferred Rewards, you’ll enjoy the benefits of the program for at least a full year, so don’t be concerned if your balances dip briefly. Additionally, a monthly review of your balances determines whether you are eligible for a higher tier. If so, you’ll be promoted to the subsequent level of rewards.
Eligibility for Preferred Rewards Credit Card
You must maintain the balance necessary for one of the balance tiers in your combined qualifying Bank of America deposit accounts (such as checking, savings, and certificate of deposit accounts) and/or your Merrill® investment accounts in order to be eligible for membership in the Preferred Rewards program (such as Cash Management Accounts, 529 Plans). You have two options for meeting the enrollment combined balance requirement:
If you enroll at the time you open your first eligible personal checking account and meet the balance requirement at the end of at least one day within 30 days of opening that account, you can choose between a three-month average daily balance in your qualifying deposit and investment accounts or a current combined balance.
the average daily balance over the past three months of your qualifying deposit and investment accounts, or
For the Gold tier, $50,000 for the Platinum tier, $100,000 for the Platinum Honors tier, $1,000,000 for the Diamond tier, and $10,000,000 for the Diamond Honors tier, you must have a qualifying balance of at least $20,000. Depending on their qualifying Bank of America, Merrill, and Private Bank balances, clients of the Private Bank are eligible to join the Diamond tier and may also be eligible for the Diamond Honors tier. For information on accounts that are eligible for the combined balance calculation and receive program benefits, consult your Personal Schedule of Fees.
Three or more business days after the end of the month in which you meet the requirements, you are typically eligible to enroll. Unless we specify otherwise, benefits take effect 30 days after your enrollment or, in the case of new accounts, 30 days after account opening. If you meet balance and other requirements, you can still receive some benefits without joining Preferred Rewards.
Only enrolled Preferred Rewards members have access to the Bank of America Advantage Savings interest rate booster. Without your request, your enrollment in Preferred Rewards will not convert any current savings accounts to Bank of America Advantage Savings accounts automatically. The interest rate booster might end if your enrollment in the Preferred Rewards program is terminated. For up-to-date rates, visit bankofamerica.com/savings.
A Preferred Rewards bonus is available for some credit cards. Enrolled Preferred Rewards members can receive a Preferred Rewards bonus of 25% for the Gold tier, 50% for the Platinum tier, or 75% for the Platinum Honors, Diamond, or Diamond Honors tiers on every purchase if they have an eligible Bank of America® credit card. If your product is awarded the 10% customer bonus, the 10% customer bonus will be replaced by the Preferred Rewards bonus. After base and bonus cash rewards for a purchase have been calculated, the Preferred Rewards bonus for eligible cash rewards credit cards will be applied. For instance, if you spend $100 and earn 3% ($3), your account will actually earn $3.75, $4.50, or $5.25 depending on your tier after the purchase posts.
For withdrawals, balance inquiries, and balance transfers from non-Bank of America ATMs in the United States and U.S. territories, Preferred Rewards Platinum Honors, Diamond, and Diamond Honors members will not be charged the non-Bank of America ATM fee and will receive a refund of the ATM operator or network fee. For withdrawals, balance inquiries, and balance transfers from non-Bank of America ATMs in the United States and U.S. territories, Preferred Rewards Platinum members will not be charged the non-Bank of America ATM fee and will receive one refund of the ATM operator or network fee per statement cycle.
For details on the program fee, rebalancing, and the specifics of the investment advisory program, please refer to the relevant Merrill Guided Investing Program Brochure (PDF) or Merrill Guided Investing with Advisor Program Brochure (PDF). Your suggested investment plan will be distinct from any other advisory program we offer and will be based solely on the data you provide to us for this particular investment goal. If this account has more than one owner, the details you give should encompass each owner’s perspective and situation.
Please be aware that these assets will be invested for the benefit of the account owner or account holder if you are the fiduciary of this account for the benefit of the account owner or account holder (e.g., trustee for a trust or custodian for a UTMA). Both Merrill Guided Investing with and without an advisor are available. Investment advisory programs for Merrill, Merrill Lynch, and/or Merrill Edge are provided by Merrill Lynch, Pierce, Fenner & Smith Incorporated (“MLPF&S”) and Managed Account Advisors LLC (“MAA”), an MLPF&S affiliate. Registered investment advisers include MAA and MLPF&S. Registration as an investment adviser does not imply a specific level of expertise or education.
Preferred Rewards members receive a discount off the annual asset-based fees of 0.45% for Merrill Guided Investing, 0.85% for Merrill Guided Investing with Advisor, and 0.45% for Merrill Edge Advisory Account for any of their accounts enrolled in the corresponding advisory programs. According to their Preferred Rewards tier in effect at the time the applicable advisory program fee is calculated, Preferred Rewards enrolled clients receive a discount of 0.05% off the annual rate for the Gold tier, 0.10% off the Platinum tier, or 0.15% off the Platinum Honors, Diamond, and Diamond Honors tiers. Additionally, customers of Bank of America Private Bank will save 0.15% on the annual rate.
Changes to your Preferred Rewards status or tier may take up to 30 calendar days to be associated with and take effect for your accounts in the advisory programs. This charge is made in advance each month. The costs of the investments will differ depending on the specific funds within each portfolio in addition to the annual program fee. Please refer to the prospectus for each fund for details on actual fund expenses.
Only enrolled Preferred Rewards members who obtain a Bank of America auto purchase or refinance loan are eligible for the auto loan preferred interest rate discount of 0.25% to 0.50%, which is based on reward tier. For a Bank of America auto loan, the maximum preferred interest rate discount is 0.50%. The interest rate quoted upon loan approval will take into account this preferred interest rate discount, which is not reflected in our rates as they are currently published on our website. Discounts are only available on auto loan applications that you submit directly to Bank of America; dealership-submitted applications are not eligible. Benefit cannot be transferred. Depending on credit approval. Credit policies and underwriting standards are applicable.
Bank of America credit cards offer a variety of sign-up bonuses for new cardholders. Most of these offers are capped at $500, but some cards have much higher sign-up bonuses. Some of these offers have different sign-up requirements, such as a minimum balance or a certain number of transactions per month.
Some of these offers are cash back rewards, while others are not. For instance, a Bank of America cash back credit card offers a sign-up bonus of up to $200 depending on the current promotion. To get the full amount of the bonus, you must spend at least $1,000 in the first 90 days after activation.
Limited redemption options
Bank of America offers a number of credit cards with varying levels of rewards and extra perks. As part of the Preferred Rewards program, customers can earn points and redeem them for extra perks and cash back. There are three tiers: Gold, Platinum, and Platinum Honors. Each tier offers various perks and rewards, and the rewards can be used towards a variety of purchases, from gas and grocery stores to restaurants and wholesale clubs.
Bank of America offers a number of cobranded credit cards that provide high value cash back. For example, the Alaska Airlines Visa Signature Card and the Premium Rewards card are great examples of cobranded cards with generous cash back offers. Bank of America also offers an auto-redemption option where you can set the amount you want to redeem for gift cards.
Bank of America is a credit card issuer with a good reputation. Their card satisfaction scores are ranked in the middle among national issuers. In a survey by J.D. Power, they tied Citibank with an 805 score. Their cards have some unique benefits that make them stand out from their competitors.
There are no annual fees on most of the Bank of America credit cards. The fees for cash advances and balance transfers are relatively low. But some cards may have annual fees of up to $95. For this reason, it’s important to shop around and make sure the bank is offering the best card for your needs.