Bank of America® Customized Cash Rewards Credit Card Review 2024
Updated April 3, 2024 at 12:17 pm
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Our Methodology Understanding the value of cash back is simple, but valuing airline miles or points redeemable for travel requires digging a bit deeper. At Newsweek, we’ve developed a common language to talk about the value of points and miles: our valuations.
Our valuations translate points into dollars and cents in a way that reflects reality. They are based on actual data across a balance of accessible redemption options, not just the aspirational first and business class redemptions that require a PhD in miles and points to book. The upshot is that our valuations help you understand the actual value you can easily get from your miles and points.
$200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening
Choose your own cash back rewards categories with the Bank of America® Customized Cash Rewards credit card.
Expert Take: Want to customize your cash back rewards? Bank of America is ready to help. With 3% cash back on a category of your choice and 2% cash back at grocery stores and wholesale clubs (on up to $2,500 in combined category purchases per quarter, then 1%), the Bank of America Customized Cash Rewards credit card could be a good option for busy families.
Pros
- Heightened cash back rewards on a category of your choice
- Introductory APR on purchase and balance transfers
- No annual fee
Cons
- $2,500 cap on combined bonus category purchases each quarter
- Can only change the 3% cash back category once per calendar month
Vault’s Viewpoint on the Bank of America Customized Cash Rewards Credit Card
Many of today’s best cash back credit cards offer higher cash back percentages on specific categories. Only a few credit cards allow you to choose which categories you earn the most cash back on. By allowing you to select a specific spending category for your top rewards, the Bank of America Customized Cash Rewards credit card gives you the opportunity to decide where you and your family are most likely to spend money—and reward yourself accordingly.
In addition to giving you the option to customize your top cash back rewards, you also have the opportunity to earn 2% cash back at grocery stores and wholesale clubs—but be aware that these higher cash back percentages are limited to $2,500 in combined purchases per quarter. After that, all purchases that might have earned 3% or 2% cash back will only earn 1% cash back.
To determine whether the Bank of America Customized Cash Rewards credit card is right for you, take a look at your average monthly spending. If you’re the kind of household that spends more than $800 on groceries and wholesale clubs each month, for example, you may hit the $2,500 quarterly maximum sooner than you realize—and you might prefer a cash back card that doesn’t come with a rewards cap, even if it doesn’t give you the opportunity to customize your rewards.
Bank of America Customized Cash Rewards Highlights
Annual fee: $0
Welcome bonus: $200 after spending $1,000 in the first 90 days
Earning Rewards With the Bank of America Customized Cash Rewards Credit Card
Much of the Bank of America Customized Cash Rewards value comes from the opportunity to choose your own 3% cash back category—but that isn’t the only way to earn rewards. Here’s an overview of how you can earn cash back with your Bank of America Customized Cash Rewards credit card:
- 3% cash back on a category of your choice
- 2% back at grocery stores and wholesale clubs
- 1% back on all other purchases
- ($2,500 quarterly spending cap on 3% and 2% category purchases, then 1% back)
Here are the categories that can earn 3% cash back:
- Gas and EV charging stations
- Online shopping, including cable, internet, phone plans and streaming
- Dining
- Travel
- Drug stores and pharmacies
- Home improvement and furnishings
Cardholders may update their 3% cash back category once per calendar month. If you choose not to update it, you’ll keep the same 3% cash back category you previously chose.
Further, Bank of America Preferred Rewards members have the opportunity to earn up to 75% more rewards depending on their tier.
Redeeming Rewards
Your Bank of America cash back rewards can be redeemed in any amount, at any time, for the following redemption options:
- Statement credits
- Direct deposits into a Bank of America checking or savings account
- Contributions to a qualifying Merrill account, including 529 accounts
Rates and Fees
The Bank of America Customized Cash Rewards credit card has no annual fee, which makes the card an even better choice for families on a budget. Plus, new cardholders get an introductory APR on both purchases and transfers for a significant amount of time, offering the opportunity to pay down old debt or pay off a large purchase.
Here are the rates and fees you can expect with the Bank of America Customized Cash Rewards card:
- Annual fee: $0
- Intro APR: 0% intro APR for 15 billing cycles on purchases and balance transfers made within 60 days of account opening
- Variable APR: 18.24% to 28.24%
- Balance transfer fee: 3%
- Foreign transaction fee: 3%
- Late payment fee: Up to $40
- Penalty APR: Up to 29.99% variable
- Cash advance fee: 3% for direct deposit and check cash advances, 5% for ATM, over-the-counter, same-day online and cash-equivalent cash advances
- Cash advance APR: 21.24% to 29.24% for direct deposit and check cash advances; 29.24% for bank cash advances
Bank of America Customized Cash Rewards Benefits
The Bank of America Customized Cash Rewards credit card doesn’t offer as many notable perks as other top credit cards, but that shouldn’t stop you from considering the cash back credit card for your everyday expenses.
Some Bank of America Customized Cash Rewards benefits available to cardholders include a $0 liability guarantee for fraudulent transactions and FICO Score access, updated monthly for free.
Who Is the Bank of America Customized Cash Rewards Credit Card Best For?
The Bank of America Customized Cash Rewards credit card is best for financially-savvy families who want to control and maximize their cash back rewards. If you’re prepared to track your spending and adjust your top cash back category every time you notice or anticipate a change in spending habits, you’re more likely to get the most value out of your Bank of America Customized Cash Rewards card.
“The Bank of America Customized Cash Rewards Credit Card requires some hands-on interaction to get the most out of your rewards—so if you’re already tracking expenses and analyzing household spending habits, consider it a good match.”
— Nicole Dieker
Who Should Consider an Alternative to the Bank of America Customized Cash Rewards Credit Card?
If you aren’t ready to track your monthly spending habits, decide which top cash back category is best for you and update your chosen category as your spending patterns change, you may not get as much out of the Bank of America Customized Cash Rewards credit card.
How Does the Bank of America Customized Cash Rewards Stack Up to Its Competitors?
The Bank of America Customized Cash Rewards credit card is an excellent choice for families who want to save money on everyday purchases, but it isn’t the only option out there. Before you apply for the card, consider taking a look at a few other top credit cards—and ask yourself which card might offer your family the best rewards.
Here’s how the Bank of America Cash Customized Cash Rewards card stacks up to a few of its biggest competitors:
Bank of America Customized Cash Rewards vs. Blue Cash Preferred® Card from American Express
The American Express Blue Cash Preferred offers 6% cash back at U.S. supermarkets on up to $6,000 in purchases per year (then 1%). You also have the opportunity to earn 6% cash back on select U.S. streaming subscriptions, 3% back on transit and at U.S. gas stations and 1% back on all other purchases. Note, though, the card charges an ongoing $95 annual fee that follows a $0 introductory annual fee the first year (see rates and fees).
In some ways, this card offers similar rewards to the Bank of America Customized Cash Rewards card—and instead of asking you to choose between streaming services and gas station rewards, you get both. However, only the Bank of America card allows you to earn customized cash back rewards on home furnishings, drug stores and other popular shopping categories.
Bank of America Customized Cash Rewards vs. U.S. Bank Cash+® Visa Signature® Card
The U.S. Bank Cash+ Visa Signature Card is another no-annual-fee credit card that allows you to choose your cash back categories. You earn 5% cash back on two categories of your choice (on up to $2,000 in combined purchases per quarter, then 1%), and you also earn an unlimited 2% cash back on one everyday spending category of your choice. All other purchases earn 1% cash back.
Your 5% cash back categories include unique options like fast food, department stores, gyms and fitness centers and movie theaters. 2% cash back categories include grocery stores and grocery delivery, restaurants, gas stations and EV charging stations.
Some people may appreciate the amount of choice offered by the U.S. Bank Cash+ Visa Signature Card, while others may find it overwhelming. That said, it’s worth considering as an alternative to the Bank of America Customized Cash Rewards credit card.
Bank of America Customized Cash Rewards vs. Wells Fargo Active Cash® Card
The Wells Fargo Active Cash is a no-annual-fee credit card that earns an unlimited 2% cash rewards on every purchase—giving you the opportunity to earn cash back rewards without having to track your spending or choose between categories.
If you’re not sure whether to apply for a cash back credit card that allows you to choose your own spending categories or a card that offers the same cash back percentage on every purchase, consider adding both cards to your wallet. Use the Bank of America Customized Cash Rewards card for your top cash back category—updating the category as your spending habits change, of course—and then use the Wells Fargo Active Cash for everything else. If you hit the $2,500 quarterly maximum on the Bank of America card, switch all of your spending to the Wells Fargo Active Cash until the next quarter begins.
Is the Bank of America Customized Cash Rewards Credit Card Worth It?
The Bank of America Customized Cash Rewards credit card can offer a lot of value to people who are willing to put in the extra effort. If you enjoy tracking your spending, planning ahead and maximizing your credit card rewards, you might find the Bank of America Customized Cash Rewards card more than worth it. If you’re a little too busy to take on the challenge of getting the most out of a customized cash rewards card, you might be better off with a flat-rate cash back credit card that offers the same rewards on every purchase.
Frequently Asked Questions
What Credit Score Do You Need for the Bank of America Customized Cash Rewards Credit Card?
You may be more likely to be approved for the Bank of America Customized Cash Rewards card if you have a FICO Score or VantageScore of 700 or above. Today’s best cash back credit cards are designed for people with good or excellent credit—so if you’re unsure whether you’ll be a good match, you might want to consider boosting your credit score before applying.
Do the Bank of America Customized Cash Rewards Expire?
As long as your Bank of America Customized Cash Rewards credit card is active, your cash back rewards will never expire. If you close your account, or if Bank of America closes your account on your behalf due to inactivity, you have 90 days to redeem your cash back rewards. If your account is closed for any other reason, including default or fraud, you won’t be able to redeem your cash back rewards.
What Is the Bank of America Customized Cash Rewards Credit Card for Students?
The Bank of America® Customized Cash Rewards credit card for Students is nearly identical to the Bank of America Customized Cash Rewards card. It offers the same rewards, welcome bonus and rates and fees. However, this card is designed for college students hoping to build a positive credit history. It could be a good choice for young people who want to start using credit responsibly while earning rewards on everyday expenses.
Editorial Note: Opinions expressed here are author’s alone, not those of any bank, credit card issuer, hotel, airline or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post. We may earn a commission from partner links on Newsweek, but commissions do not affect our editors’ opinions or evaluations.
