Cash back on your choice of everyday categories #CashNews.co

Spending patterns often change throughout the year, so being able to adjust your reward categories to reflect your priorities is a massive benefit. The Bank of America® Customized Cash Rewards credit card allows you to pick a 3% cash back category monthly while earning up to 2% cash back at grocery stores and wholesale clubs. While this card is light on benefits, it has no annual fee and includes an intro APR offer to help you save on interest. Learn more about this Bank of America credit card and how to maximize your cash-back rewards.

Aside from its welcome bonus and cash-back rewards, this Bank of America credit card has limited benefits. Here are some standard credit card benefits you will receive:

• Free FICO scores. Opt-in to receive free FICO scores that are updated monthly in your online account or the bank’s mobile app.

• Contactless chip technology. Make secure purchases without swiping your credit card at terminals with tap-to-pay functionality.

• Overdraft protection. Link your Bank of America credit card with your eligible checking account to prevent declined transactions and returned checks.

• Annual fee: None

• Welcome offer: $200 cash bonus after spending $1,000 within 90 days of account opening

• Rewards:

  • 3% cash back on the category of your choice (gas and EV charging stations; online shopping, cable, internet, phone plans, and streaming; dining; travel; drug stores and pharmacies; home improvement and furnishings)*

  • 2% cash back at grocery stores and wholesale clubs*

  • 1% cash back on all other purchases

*Bonus rewards apply to the first $2,500 in purchases each quarter on combined choice category, groceries, and wholesale clubs.

The Bank of America® Customized Cash Rewards credit card offers 3% bonus rewards in six categories you can choose from. You can change your bonus category once a month through the bank’s website or mobile app (if you don’t change your category, it remains the same as your previous choice). Here’s a look at the eligible 3% categories, as well as the card’s other bonus categories:

• 3% cash back on your choice of gas and EV charging stations; online shopping, cable, internet, phone plans, and streaming; dining; travel; drug stores and pharmacies; or home improvement and furnishings

• 2% cash back at grocery stores and wholesale clubs

• 1% cash back on all other purchases

There are limits to the amount of cash back you can earn across the card’s bonus categories. Bonus rewards apply to the first $2,500 in combined purchases each quarter — that includes combined spending in your choice category, on groceries, and at wholesale clubs quarterly.

Read more: The best rewards credit cards

With your choice of 3% bonus category, you’ll earn the most rewards by selecting the category you spend the most each month. There are six spending categories to choose from, including dining, travel, gas, and more. Plus, you can update your selection as your spending habits change throughout the year. Simply log into your account online or through the bank’s mobile app to change it up to once a month.

Additionally, you’ll get 2% cash back at grocery stores and wholesale clubs. Bonus cash back is available on the first $2,500 you spend each quarter in your 3% and 2% categories. All other purchases earn an unlimited 1% cash back.

If you reach the spending max each quarter with purchases in your 3% choice category, you can earn up to $300 each year.

Bank of America Preferred Rewards members can earn even more with the Bank of America Customized Cash Rewards card. Preferred Rewards membership is based on your combined balances across eligible Bank of America deposit accounts and Merrill investment accounts.

Depending on the tier you qualify for, you can earn between 25% and 75% extra cash back on each purchase. Here’s what that looks like with this card:

• 3.75% – 5.25% cash back in your choice category

• 2.50% – 3.50% cash back on groceries and at wholesale clubs

• 1.25% – 1.75% cash back on all other purchases

With Preferred Rewards, your potential bonus increases to $525 per year (if you max out the $2,500 quarterly limit using only the highest-earning category).

Cardholders have multiple ways to redeem their cash back rewards.

Rewards can be redeemed at any time and in any amount for statement credits, deposits into a Bank of America checking or savings account, or a credit to an eligible Merrill account.

Some other options have a minimum $25 redemption. This includes deposits into a qualifying Merrill 529 account, a check mailed to your address on file, or automatic redemptions to an eligible Bank of America or Merrill account.

Compare more of the best cash-back credit cards

Aside from its welcome bonus and cash back rewards, this Bank of America credit card has limited benefits. Here are some standard credit card benefits you will receive:

• Free FICO scores. Opt-in to receive free FICO scores that are updated monthly in your online account or the bank’s mobile app.

• Contactless chip technology. Make secure purchases without swiping your credit card at terminals with tap-to-pay functionality.

• Overdraft protection. Link your Bank of America credit card with your eligible checking account to prevent declined transactions and returned checks.

This Bank of America credit card is best for consumers who want to earn cash back but whose spending habits vary throughout the year. Customizing which spending category earns 3% allows them to maximize their cash back rewards as their needs change.

Additionally, the card’s intro APR offer provides them extra time to pay off purchases or reduce credit card debt without paying interest. This allows 100% of their monthly payments to go towards eliminating that balance instead of paying bank interest charges.

Related:

• Flexible rewards structure: Customize your bonus cash back categories based on where you spend the most each month. Update your selection once per month; otherwise, your previous selection continues until it is changed.

• Solid welcome bonus: The $200 welcome bonus when you spend $1,000 within the first 90 days is competitive with other cash-back cards today.

• 0% intro APR offer: New cardholders can save on interest charges with a 0% intro APR offer on purchases and balance transfers. Avoid interest on purchases and eliminate interest on debt owed to other credit cards.

Compare more of today’s top credit card sign-up bonuses

• Bonus cash back is limited. Customers only earn bonus rewards on the first $2,500 spent each quarter. This limits how much cash back you can earn if you have higher monthly spending needs.

• Only one 3% cash back category at a time. You can only pick one eligible spending category per month to earn the highest cash back rate. If your needs change quickly or spend in multiple categories, you could miss out on extra rewards.

• No transfer partners. This Bank of America credit card does not offer any hotel or airline transfer partners to get more potential value out of your rewards.

• Balance transfer deadline. To qualify for the 0% intro APR promotion, you must complete your balance transfers within 60 days of opening your account.

The Bank of America® Customized Cash Rewards Visa credit card can be used anywhere Visa credit cards are accepted. The card also has tap-to-pay functionality, so it can be used at terminals that permit contactless payments.

If you’re traveling internationally, beware of the card’s 3% foreign transaction fee. This hidden fee increases the cost of purchases made outside of the U.S. On these purchases, consider using a different credit card that waives these fees.

Check out today’s best credit cards with no foreign transaction fees

There are several methods available for Bank of America credit card customers to make payments on their accounts.

• Online. Log into your Bank of America account and select Bill Pay, then follow the instructions.

• Mobile app. Customers can make credit card payments through the bank’s mobile app.

• At a financial center. Bank of America has 3,700 branches where customers can make payments in person with a teller.

• Bank of America ATM. Insert your credit or debit card into one of the bank’s 15,000 ATMs to make a cash or check payment.

• By phone. Call (800) 236-6497 to make a payment by phone.

• By mail. Mail payments to PO Box 15019, Wilmington, DE 19850-5019.

• Overnight payments. For faster delivery using an overnight courier, send payments to Bank of America, Attn: Payment Processing, DE5-023-03-02, 900 Samoset Drive, Newark, DE 19713.

The Bank of America Customized Cash Rewards credit card offers cash-back rewards that you can control, but it may not be the best card for your spending habits. Here are some other cards to consider before submitting your application.

Why we like it: Like the Bank of America Customize Cash Rewards card, this credit card has a lot of potential value but also requires you to spend within bonus category limits. With the Blue Cash Everyday® Card from Amex, you’ll earn up to 3% cash back at U.S. supermarkets, on U.S. online retail purchases, and at U.S. gas stations (up to $6,000 spent in each category per year, then 1%), and all other purchases earn 1% cash back. Unlike the Bank of America credit card’s combined limit for bonus purchases, each Blue Cash Everyday bonus category has its own $6,000 annual limit. It has no annual fee (see rates & fees), a generous introductory APR on purchases and balance transfers, and features a $200 welcome bonus after spending $2,000 within the first six months.

Read our full review of the Blue Cash Everyday Card from American Express

Why we like it: Consumers who don’t want to worry about choosing a bonus category might be better off with the Capital One Quicksilver card. You’ll earn unlimited 1.5% cash back on every purchase and 5% cash back on hotels and rental cars booked through Capital One Travel. It has no annual fee, and there are no foreign transaction fees when traveling internationally. Plus, it features a $200 cash bonus when you spend $500 within three months, as well as a 0% intro APR on purchases and balance transfers.

Read our full review of the Capital One Quicksilver Cash Rewards Credit Card

Why we like it: For people who love to travel, the Capital One Venture Rewards Card is an excellent choice. The card earns an unlimited 2x miles on every purchase and 5x on hotels and rental cars booked through Capital One Travel. It features a welcome bonus of 75,000 miles when you spend $4,000 within the first three months of account opening. While the card has a $95 annual fee, its benefits can justify the cost for frequent travelers. Cardholders receive complimentary Hertz Five Star status, Lifestyle Collection benefits on hotel reservations, and a credit for Global Entry or TSA PreCheck application fees. Miles earned can be redeemed for travel through Capital One Travel or to cover travel purchases you make with your card; you can also transfer miles to 15+ airline and hotel partners.

Read our full review of the Capital One Venture Rewards Credit Card

This article was edited by Kendall Little

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