Bank of America Cash Rewards Credit Card Review 2019

Bank of America Cash Rewards Credit Card Review 2019

Share: Rating: 4.2 stars out of 5

The Smart Investor has collected card information independently. Issuers did not provide the details, nor are they responsible for their accuracy. The review is not a recommendation, the actual rates/fees may be different.

Bank of America Cash Rewards Card – Overview

Bank of America Cash Rewards is a cashback rewards card that allows card holders to pick their own bonus category for the 3% cashback rewards. Bank of America Cash Rewards card also offer 2% back on groceries and 1% back on all other spending. This card has a few more loopholes than other cards, but offers good potential cashback rewards without an annual fee. This card is a Mastercard and is widely accepted.

Bank of America Cash Rewards Card

4.2/5
 Bank of America Cash Rewards Credit Card Review 2019

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Our Bottom Line

For People Who Know What They Want
 
 


Credit Rating Requirements

Good – Excellent Credit

Pros
  • $200 Cashback Sign-Up Bonus

  • 2% Cashback on Groceries and Warehouses, 1% on The Rest

Cons
  • Cap on Rewards

  • There are Better Cashback Cards

Highlights

  • No Annual Fee
  • Cash Back of Your Choosing
  • Fraud Protection
  • 0.0% APR Introductory Rate on Balance Transfers and Purchases in the First 12 Months

Bank of America Cash Rewards Card – Benefits

Let’s take a look at the benefits of the Bank of America Cash Rewards and see if it’s the right one for your wallet or not.

$200 Cashback Sign-Up Bonus

Bank of America Cash Rewards offers a $200 cashback bonus after you spend $1,000 on your new card within the first 90 days on eligible purchases.

2% Cashback on Groceries and Warehouses, 1% on The Rest

Bank of America Cash Rewards has a 2% cashback reward on all grocery purchases and warehouse store purchase with a $2,500 limit per quarter with no limits. Also, Bank of America Cash Rewards also has 1% cash back on all other purchases, with no limits.

3% Cash Back of Your Choosing

Bank of America Cash Rewards card allows cardholders to choose a purchase cargatory in which to earn 3% cash back. This too has a limit of $2,500 per quarter, combining the 2% cash back on grocery purchases

No Annual Fee

Bank of America Cash Rewards does not have an annual fee. You can start putting cash back in your pocket immediately.

0% APR Introductory Rate on Balance Transfers and Purchases in the First 12 Months

If you are looking to save money on interest, the Bank of America Cash Rewards offers a 0.00% introductory rate for 12 months on balance transfers. If you have a credit card that you are trying to pay down, you can transfer the account and pay no interest on the transfer for 12 months. This introductory rate also applies to purchases.

Bank of America Preferred Rewards Program

If you also qualify for the Bank of America Preferred Rewards Program your rewards can go 25% to 75% further. To be a part of this program you need to have $20,000 to over $100,000 in a Bank of America account.

Fraud Protection

Bank of America Cash Reward has fraud protection, chip technology, and overdraft protection. Card holders can also shop securely online by creating temporary card numbers – this way your actual card number stays safe.

Bank of America Cash Rewards Card – Drawbacks

Here are the most important cons you should consider before apply to the Bank of America Cash Rewards card:

Cap on Rewards

The 2% and 3% category has a spending limit of $2,500 per quarter. If you are a big spender and that amount is not hard to hit, then your rewards are limited to 1% cash back on all purchases.

High APR

The APR for the Bank of America Cash Reward is a 16.24%-22.24% variable rate, which is high for a card that requires borrowers with excellent credit histories. It is a little lower than other cashback cards. Cash advance is a 19.24% to 27.24% variable rate.

Balance Transfer Fee

There is a balance transfer fee required if you want to take advantage of the introductory 0.00% APR rate. The fee is incurred when you transfer debts from one or more credit cards to your Bank of America Cash Reward. This fee is $5 or 3% of the transfer, whichever is bigger. This fee is upfront and will be added to your debt load when transferred.

Better Cashback Cards

There are other cashback cards in the market that offer higher cashback rewards. Some have rotating categories, but with a little planning you can earn more cash back on your purchases. If you are a big spender and don’t mind an annual fee, there are other cards with higher cashback rewards.

Foreign Transaction Fee

Bank of America Cash Reward has a 3% fee for each transaction in another country. If you are traveling outside of the US, you may want to leave this card at home.

Longer Introductory Rates

Bank of America Cash Reward offers a 12 month 0.00% APR introductory rate, but there are other cards that have longer introductory rates. If you are looking to transfer some debts and pay them down, you may want to look at other cards with longer 0.00% APR introductory rates.

Alternatives to Bank of America Cash Rewards Credit Card

There are other credit cards that do offer comparable cash back rewards – we’ve summarized the most popular cards which can use as an alternative to the Cash Reward card:

CitiBank Double Cash cardCitiBank Double Cash card

CitiBank Double Cash card is a comparable cashback card. It does not have a sign-up bonus but does offer a longer introductory 0.00% APR for 18 months. The CitiBank Double Cash card offers 1% cash on all purchases and 1% cash back after paying for those purchases. You could make 2% back on all purchases as long as you pay your credit card bill. CitiBank Double Cash rewards does not have an annual fee.

American Express Blue Cash Preferred CardAmerican Express Blue Cash Preferred Card

American Express Blue Cash Preferred is a cashback card that offers rewards on similar purchase categories. The Blue Cash Preferred Card has a $200 cashback bonus after spending $1,000 in the first three months. This card offers 6% cash back at grocery stores, 3% back at gas stations, 3% back at department stores and 1% cash back on all other purchases. The 6% cash back at grocery stores does have a $6,000 annual spending limit. This card has an annual fee of $95 and comes with a similar introductory 0.00% APR.

Chase Freedom Card Chase Freedom Card

The Chase Freedom card offers a $150 sign-up bonus after only spending $500 in purchases after 3 months. That is a low spending threshold to receive a sign-up bonus. The Chase Freedom card has 1% cash back on all purchases. This card also has revolving cashback bonuses that offer 5% on rotating categories. These categories change once a quarter but can increase your cash back if the consumer pays attention to their spending. It does have a cap of $1,500 on the bonus spending category. The Freedom card does not come with an annual fee.

Is the Bank of America Cash Rewards Card Right for You?

Bank of America Cash Rewards is great for card holders that like to control what spending category they want to get the most cash back from. If you are on the road frequently, maybe choosing gas as your spending category will get you the most cash back on this card. Current Bank of America customers will find the most rewards with this card if they qualify for Bank of America Preferred Rewards Program.

The Bank of America Cash Rewards card does have spending limits and those customers in the Preferred Rewards Program will hit the limit much more quickly. If a potential customer is looking for more cash back rewards and does not mind an annual fee, there are better cards on the market. Also the 0.00% introductory APR is only 12 months and there are other cards that offer longer introductory rates.