If you’re a Bank of America® banking customer, you could be earning serious rewards bonuses on your Bank of America® Travel Rewards credit card or Bank of America® Cash Rewards credit card. Here’s the lowdown on Preferred Rewards and how much more you’ll earn.
What are Preferred Rewards?
High-balance Bank of America® customers may qualify for additional credit card rewards if they enroll in one of the three tiers of Preferred Rewards — Gold, Platinum and Platinum Honors. Required balances for the three tiers are calculated by combining the three-month averages of your Bank of America® banking account balances and Merrill Edge or Merrill Lynch investment balances.
|Required balance||$20K – $50K||$50K – $100K||$100K+|
Preferred Rewards offers more than extra credit card rewards. You can also get rewards boosts to your money market accounts, reduced mortgage origination fees and auto loan rate discounts. For more information, check out the Bank of America® website.
That’s nice — what do these extra rewards look like on my spending?
Here’s an example: Let’s assume you spend like the “average American” of 2013, as calculated by the Bureau of Labor Statistics. To keep things simple, let’s also assume these are the only purchases you put on your credit card annually.
- Grocery stores: $3,977
- Dining out: $2,625
- Apparel and services: $1,604
- Entertainment: $2,482
- Gas: $2,418
|Regular rate (1.5 points/$1)||19,659 points|
|Gold (1.875 points/$1)||24,574 points|
|Platinum (2.25 points/$1)||29,489 points|
|Platinum Honors (2.625 points/$1)||34,403 points|
|Regular rate (3%, 2%, 1%)||$230.83|
|Gold (3.75%, 2.5%, 1.25%)||$288.54|
|Platinum (4.5%, 3%, 1.5%)||$346.25|
|Platinum Honors (5.25%, 3.5%, 1.75%)||$403.95|
Nerd note: With the Bank of America® Cash Rewards credit card, you’ll earn these bonus rewards only if you redeem your cash back into your Bank of America® checking or savings account.
I’m a Bank of America® banking customer, but I don’t have high balances. What about me?
If you’re a Bank of America® banking customer, but you don’t qualify for Preferred Rewards, you’ll still earn a little extra bonus. With the Bank of America® Travel Rewards credit card, you’ll earn a 10% customer bonus on every purchase made — for an effective rewards rate of 1.65 points per dollar spent.
Bottom line: Bank of America® banking customers who qualify for Preferred Rewards can earn 25%-75% more rewards on their credit card spending. Make sure if you have the Bank of America® Cash Rewards credit card you’re redeeming rewards into your Bank of America® checking or savings account to get your bonus.
Image via iStock.
Updated Aug. 2, 2017.