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INSIDER SECRET: Have a Bank of America checking or savings account? You can link your Bank of America® Cash Rewards credit card directly to your account for seamless cash back redemptions. Plus, there’s no minimum redemption.
There’s no denying that cards that earn points and miles offer some of the best benefits. However, there’s one reward we all like and that’s cash. Although it’s not amazing for travel, the Bank of America Cash Rewards credit card is a solid cash back credit card for novices and even veterans.
Right now, you can earn $200 cash back after spending just $1,000 on purchases in the first 90 days of opening a new Bank of America Cash Rewards credit card account.
Probably one of the sweetest aspects of the Bank of America Cash Rewards credit card is that there’s no annual fee. Plus, though not loaded with benefits and perks, the card comes with some surprisingly valuable benefits, including travel coverage and purchase protection. But that’s not all you need to know about this well-rounded cash back Bank of America credit card.
Here’s our full Bank of America Cash Rewards review.
Here’s more about why the Bank of America Cash Rewards credit card is a fantastic cash back credit card for the most- and least-experienced credit card user.
Bank of America Cash Rewards Review: The Welcome Bonus Is Worth $200 Cash Back
Apply Here: Bank of America Cash Rewards credit card
The Bank of America Cash Rewards credit card offers a welcome bonus of $200 cash back after spending $1,000 on purchases in the first 90 days from account opening. That’s $200 you can redeem for anything – not just travel.
Plus, the Bank of America Cash Rewards credit card has no annual fee. So it won’t cost a thing to keep for the long term and potentially improve your credit score by increasing the average age of your accounts.
The Bank of America Cash Rewards credit card doesn’t have any transfer partners. Rather, cash back redemptions are extremely simple, A few cash back redemption options include a check and direct deposit into a Bank of America account.
If you bank with Bank of America, the Bank of America Cash Rewards credit card is a no-brainer. You can transfer any amount of your cash back balance to a Bank of America checking or savings account. Additionally, if you bank or save with Merill Lynch, you can also transfer your cash back to an eligible 529 account, Wealth Management, Merill Edge, or Cash Management Account.
Additionally, there’s no annual cap on earning cash back for any purchases made in the 1% category. There is a quarterly cap on all 2% and 3% categories, however, you’ll still earn 1% cash back if you hit the $2,500 cap.
How to Earn Cash Back With the Bank of America Cash Rewards Card
This card is unique in that you can choose 3% cash category from a list of six:
- Online shopping
- Drug stores
- Home improvement/furnishings
When you open your card, the 3% category defaults to gas. However, you can change your category once per calendar month, which is handy if you know you’ve got a large purchase coming up in a specific category, like travel or home improvement.
As long as you take into account the quarterly cap of $2,500 in combined purchases for 2% and 3% categories, you should find earning cash back with the Bank of America Cash Rewards credit card fairly simple. Here’s how you’ll earn cash back with the card:
- 3% cash back on purchases you’ve picked as your 3% category (up to $2,500 in purchases per quarter, combined with the 2% category, then 1% cash back)
- 2% cash back on purchases made at grocery stores and wholesale stores (up to $2,500 in purchases per quarter, combined with the 3% category, then 1% cash back)
- Unlimited 1% cash back on all other purchases
How to Use Cash Back Earned With The Bank of America Cash Rewards Card
With the Bank of America Cash Rewards credit card, you can redeem cash back through the Bank of America website in a number of ways:
- Receive cash back in the form of a check
- Transfer cash back to a Bank of America checking or savings account
- Receive a statement credit when you apply your cash back
- Redeem cash back for a deposit into an eligible 529 account
- Use cash back for a deposit into eligible Merrill Lynch products including a Merrill Lynch Wealth Management, Cash Management, or Merrill Edge account
When you redeem cash back for a contribution to a qualifying 529 account with Merrill Lynch, a check or automatic redemption for an electronic deposit into a Bank of America checking or savings account, or for credit into a qualifying Cash Management Account with Merrill Lynch Wealth Management or Merrill Edge, there’s a $25 minimum redemption amount.
Your cash back will never expire as long as your account is open and in good standing. If you close your account, you’ll lose the remaining cash back balance.
Bank of America Cash Rewards Card Benefits
The Bank of America Cash Rewards credit card isn’t loaded with benefits. Still, the card comes with a few perks that make traveling and shopping a little less stressful.
Bank of America Preferred Rewards
If you bank with Bank of America or Merrill Edge (Bank of America’s affiliate investment company), you could earn bonus cash back depending on how much you have invested with them:
- $20,000 to < $50,000 – 25% bonus
- $50,000 to < $100,000 – 50% bonus
- $100,000+ – 75% bonus
Rental Car Damage and Loss Coverage
A fantastic benefit for travelers who often find themselves on the road, the Bank of America Cash Rewards credit card offers secondary rental car damage and loss coverage when you use your card to pay for a car rental.
Unlike primary auto rental insurance, this benefit will kick in for what’s not covered by your primary insurance policy.
Here’s more about what you must know about credit card car rental insurance.
Extended Warranty Protection
When you purchase an eligible item with the card, you may be able to double the manufacturer’s warranty up to one additional year.
To take advantage of this benefit, link your Bank of America Cash Rewards credit card to the BankAmeriadeals mobile app, which displays active offers and deals.
Is the Bank of America Cash Rewards Credit Card Worth It?
Considering the Bank of America Cash Rewards credit card doesn’t have an annual fee yet comes with a $200 cash back welcome bonus, the card is worth it if you prefer cash-back rewards.
The important thing you’ll want to consider is if you plan on applying for any cards issued by Chase. This card will count toward your Chase’s 5/24 count. Essentially, if you’ve opened five or more credit cards in the past 24 months, you won’t be approved for valuable Chase credit cards like the Chase Sapphire Preferred Card or Ink Business Preferred Credit Card. The information for the Ink Business Preferred Credit Card has been collected independently by Million Mile Secrets. The card details on this page have not been reviewed or provided by the card issuer.
So, you’ll want to determine if the Bank of America Cash Rewards credit card is one of the four cards you’ll want in the next two years if you plan on applying for a card issued by Chase.
Does the Bank of America Cash Rewards Card Charge Foreign Transaction Fees?
Yes. If you’re traveling abroad, you’ll want to use one of the best no foreign transaction fee credit cards instead.
Who Is Eligible for the Bank of America Cash Rewards Card?
Aside from this card counting toward the 5/24 rule, this is a personal credit card and most applicants with a good credit score and income should be eligible for this card. With no annual fee and earning cash back, your approval odds could be higher than with some premium credit cards.
If you already have this card, you won’t be eligible unless your current card has been open for at least 24 months. The terms say:
This Cash Rewards card will not be available to you if you currently have a Cash Rewards card unless you have had that Cash Rewards card for at least 24 months.
Additionally, if you’ve opened other Bank of America cards recently, you may not be approved. Unofficially, Bank of America won’t approve more than:
- 2 cards in a rolling 2-month period
- 3 cards in a rolling 12-month period
- 4 cards in a rolling 24-month period
Customer Support for the Bank of America Cash Rewards Card
The Bank of America Cash Rewards credit card offers 24/7 customer support. However, at times, you might not get to speak to a live person. You can reach Bank of America’s customer service team 24/7 and most times, speak to a live representative.
Bank of America card holders also get access to online chat features, which is handy for quick inquiries or if you don’t want to make a phone call.
The Bank of America Cash Rewards credit card might not come with a bunch of benefits but it’s still a solid cash back credit card.
One of the reasons the Bank of America Cash Rewards credit card is such a solid card is the sign-up bonus. You’ll earn $200 cash back when you spend $1,000 on purchases in the first 90 days of opening an account.
With no annual fee, the Bank of America Cash Rewards credit card is great for frugal spenders. Additionally, you can earn up to 3% cash back in a category you choose from a list of six, including travel, gas and home improvement on up to $2,500 in combined spending with the 2% category (grocery stores and wholesale clubs) per quarter, then 1%. You’ll earn 1% cash back everywhere else.
You’ll also receive benefits including rental car coverage, extended warranty protection and access to BankAmeriDeals® for up to 15% cash back with participating partners.
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