Bank of America to Introduce New Cash Rewards Credit Card
Bank of America will introduce a new Cash Rewards credit card. Beginning January 14, 2019, cardholders will be able to select a 3% cash back option from six spending categories.
The current Cash Rewards Credit Card features 3% cash back on gas, 2% cash back on grocery and wholesale club purchases, and 1% cash back on everything else.
With the new card, customers can choose where they want to earn 3% cash back. The categories include: online shopping, gas, drug stores, dining, travel, and home improvement/furnishings. The new Cash Rewards card will still carry 2% cash back for grocery purchases, and 1% cash back on all other purchases.
The 3% rewards will be automatically set for gas purchases, but cardholders can change that option once a month. The categories will be available on the Bank of America mobile app and online. The extra rewards are available for the first $2,500 worth of purchases each quarter. Then all transactions earn 1% cash back.
The rewards do not expire, and there is no annual fee for the card. Members of the Preferred Rewards program can earn an additional 25% to 75% cash back rewards, depending on which tier they are in. To qualify for Preferred Rewards membership, customers must have a Bank of America checking account and a three-month average balance of $20,000 in their Bank of America accounts or Merrill Lynch investment accounts.