Bank of America’s Preferred Rewards program provides opportunities for the institution’s customers to boost the rewards earned on their credit cards, increase the interest earned on savings account funds and enjoy reduced interest rates and fees on certain financial products such as mortgages and auto loans.
The Preferred Rewards program charges no fees for participating, and the perks make it a no-brainer for those who qualify. But the threshold for entry might be daunting to some, as the lowest tier requires a combined average daily balance of $20,000 or more in Bank of America and Merrill accounts over the past three months.
What is the Bank of America Preferred Rewards program?
Bank of America Preferred Rewards is a program for customers who meet certain criteria in terms of funds in Bank of America bank accounts or investments with Merrill. It offers five tiers, and comes with a package of perks including more cash back on certain Bank of America credit cards and waived or discounted fees on various other types of accounts. The Preferred Rewards program tiers, from lowest to highest, are as follows:
- Gold
- Platinum
- Platinum Honors
- Diamond
- Diamond Honors
Even at the lowest tier, the Gold level, you’ll get the following benefits:
- Elevated rewards for spending on eligible credit cards.
- Increased interest rate on savings accounts.
- Waived maintenance fees on checking and savings.
- Discount on auto loans and mortgage origination fees.
- Merrill Guided Investing Program discounts.
Customers who qualify for the Diamond and Diamond Honors tiers will also have access to “lifestyle benefits.” Not much is disclosed about these benefits upfront, but they may include exclusive travel packages, extensive golf course access and savings on certain luxury automobile brands like Mercedes.
How does the Preferred Rewards program work?
When you enroll for Preferred Rewards, your combined average account balances over the prior three months will be used to determine which Preferred Rewards tier you fall into. Any of the following accounts on which you’re an owner or co-owner will be will be considered to determine your eligibility:
- Bank of America – checking, savings, certificate of deposit and IRAs.
- Merrill – Cash Management Accounts, IRAs and 529 Plans.
Another perk of the program is that you can’t lose your tier status if you dip below the minimum balance requirement during the first year. You can, however, be automatically moved to a higher tier if your balances increase.
Preferred Rewards tiers
What credit cards are eligible for Preferred Rewards?
Bank of America’s web page on boosting your credit card rewards through the Preferred Rewards program lists five cards that are eligible. You can use any of the following cards with the program, as long as your account is open and has active charging privileges.
- Bank of America® Customized Cash Rewards credit card
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The information for the Bank of America® Customized Cash Rewards credit card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.
- Bank of America® Unlimited Cash Rewards credit card
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The information for the Bank of America® Unlimited Cash Rewards credit card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.
- Bank of America® Travel Rewards credit card
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The information for the Bank of America® Travel Rewards credit card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.
- Bank of America® Premium Rewards® credit card
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The information for the Bank of America® Premium Rewards® credit card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.
- Bank of America® Premium Rewards® Elite credit card
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The information for the Bank of America® Premium Rewards® Elite credit card has been collected independently by Blueprint. The card details on this page have not been reviewed or provided by the card issuer.
Note that co-branded credit cards issued by Bank of America are not eligible for the program.
Also, this program is specifically for consumer products. Thus, small business credit cards are not eligible. However, the bank also offers a similar program for business owners called Preferred Rewards for Business.
How do I join the Preferred Rewards program?
You’ll need an active and eligible Bank of America checking account in order to enroll in Bank of America’s Preferred Rewards program. Customers can enroll by logging in to their online banking account. No documents are required to complete enrollment and there’s no fee to sign up or to participate.
Benefits typically become active within 30 days of enrollment.
Frequently Asked Questions (FAQs)
Bank of America Preferred Rewards is a program that customers of the bank can enroll in, if they meet eligibility requirements, to increase their credit card rewards. The bank issues a variety of popular cash-back and points-earning credit cards, including the Customized Cash Rewards credit card and the Unlimited Cash Rewards credit card. Both of these are eligible for boosted earnings through the Preferred Rewards program.
A Preferred Rewards client is someone who is enrolled in Bank of America’s Preferred Rewards Program. You may be eligible to enroll if you have at least $20,000 in combined deposits in your Bank of America accounts and your Merrill investment accounts.
The Preferred Rewards program is worth it for eligible Bank of America customers since there are no fees or charges for enrolling, and the program can help you earn more interest on savings and more rewards on credit card spending, not to mention providing discounts on other financial products from the bank.
The value of Bank of America rewards points can vary depending on how you use them. According to Bank of America’s website, 50,000 online bonus points potentially have a value of $500.
Note that rewards points are not one of the benefits you get with the Preferred Rewards program. Rather, you earn these points by making purchases on an eligible Bank of America rewards credit card.
