Rewards Credit Cards July 4, 2020 0

Bank of America Premium Rewards Credit Card Review

Bank of America Premium Rewards Credit Card

Hello Friends, I hope all is well with you! I am going to be reviewing the Bank of America Premium Rewards credit card. These opinions are my own, and I am in no way influenced by anyone.

Overall Verdict: The Bank of America Premium Rewards credit card seems to be similar to the Chase Sapphire Preferred credit card. It has a certain reward amount for purchases on travel and dining, and it has a certain reward amount on all other purchases. This premium Bank of America rewards credit card has expanded benefits and protections that people will like as well as a sign-up bonus. Also, it has a potential to earn you extra rewards if you are able to be part of their preferred rewards program. However, there are still some cards out there that have a higher reward amount.

Some things about this card that I do like:

  1. Benefits and protections
  2. Sign-up bonus
  3. Preferred rewards program
  4. No foreign transaction fees

Some of the things that I don’t like:

  1. You can earn a higher reward amount with other rewards credit cards

What type of reward are you getting?

The Bank of America Premium Rewards credit card offers you the chance to earn points for every dollar that you spend. The points are applied to the net purchase amount (purchases minus returns) at the end of every billing cycle. The points accumulate in your account until you decide that you want to redeem them. There are a few ways that you are able to redeem your points. The first and most common way would be to redeem your points as a statement credit. The second way would be to exchange your points for cash and deposit that in your bank account; however, you must have a bank account with Bank of America or have an eligible account with Bank of America in order to deposit the money. The third way would be to redeem the points for gift cards. The last way would be to use the Bank of America Travel Center and book a trip.

Is there an annual fee?

The Bank of America Premium Rewards credit card has an annual fee of $95.

What is the rewards amount?

This rewards card offers you the chance to earn 2x points for every dollar that you spend on dining and travel purchases. Additionally, you will earn 1.5x points for every dollar spent on all other purchases. You are able to earn more rewards if you are part of Bank of America’s preferred rewards program. The preferred rewards program is divided into three tiers: Gold, Platinum, and Platinum Honors. The way you get assigned to one of these tiers depends on how much money you have deposited with them. The required balance is based off of a three-month average.

Tier Required Balance Credit Card Rewards Bonus
Gold $20,000 to < $50,000 25% reward bonus
Platinum $50,000 to < $100,000 50% reward bonus
Platinum Honors $100,000 + 75% reward bonus

For example, if you are at platinum honors, you get an extra 75% reward bonus, and that is added on to all the categories of rewards. You have a chance to earn 3.5x points for every dollar that you spend on dining and travel purchases and 2.25x points for every dollar spent on all other purchases

Is there a bonus offer?

The Bank of America Premium Rewards credit card has a sign-up bonus of 50,000 points (worth $500) if you are able to spend at least $3,000 in the first 90 days of the account opening. This would be roughly a 17% return on the money you would have spent regardless.

Are there foreign transaction fees?

This premium rewards credit card does not have a foreign transaction fee.

Are there any other benefits?

This Bank of America credit card has some good benefits considering it has a $95 annual fee.

They offer:

  1. FICO credit score check – you can check your score for free (doesn’t affect your credit score)
  2. Zero fraud liability – You will not be responsible for unauthorized purchases
  3. Overdraft protection – Optional service to help prevent declined purchases, returned checks, or other overdrafts, but you must link your Bank of America checking account and transfer fees may apply
  4. Fraud protection – your account is being monitored for fraudulent activity
  5. Purchase protection – it covers purchases up to 90 days against damage or theft up to $10,000 per claim
  6. Extended warranty protection – this extends the time period for the manufacturer’s warranty
  7. Auto rental collision damage waiver – you need to decline the rental company’s collision insurance and use your card for the rental car purchase. You are covered for theft or collision incidents on most cars in the U.S and abroad. Coverage is primary to your insurance. Chase’s rental insurance will be maxed out before you use your personal car insurance
  8. Trip cancellation and trip interruption insurance – you can be reimbursed if your trip is canceled or cut short for covered situations
  9. Trip delay reimbursement – you are reimbursed for expenses for expenses up to $500 per ticket if your common carrier travel is delayed more than 12 hours
  10. Baggage delay insurance – this provides you reimbursement of up to $100 a day (up to 5 days) when your bags are delayed for more than six hours. The items must be essential, and this insurance is secondary to the common carrier’s reimbursement
  11. Lost luggage reimbursement – this provides you coverage for luggage and its contents in the event that your luggage is lost, stolen, or misdirected by the common carrier
  12. Return protection – this protection reimburses you the cost of an eligible item of personal property if you don’t like the item within 90 days of purchase; the retailer must not accept the item. Coverage is up to $250 per eligible item and up to $1,000 annually

For more information and details on their benefits, check out their benefits page.

What is the interest rate and are there any other fees?

This rewards credit card does not have an introductory APR offer. The APR would be between 15.99% and 22.99%; it just depends on your credit score.

They also have other fees such as:

  1. Cash advance fee – $10 or 3% of the amount of each cash advance, whichever is greater
  2. Late payment fee –up to $40
  3. Balance transfer fee – $10 or 3% of the amount of each balance transfer, whichever is greater
  4. Returned payment fee – up to $29

For more information on their fees, check out their fee schedule.

How is the customer service like?

There are a few ways to contact Bank of America for questions or problems. The first and most common way would be to call the number on the back of your card. The second way would be to find a location and schedule an appoint to meet with a representative. The third way would be to mail in your question, comment, or concern to one of their PO boxes. There will be times where you might have to wait a little longer than usual or maybe you get a bad agent here and there, but this tends to happen at all companies from time to time.

Should you get the Bank of America Premium Rewards Credit Card?

Who it’s perfect for:

  1. People who primarily spend their money on travel and dining
  2. People who want a sign-up bonus
  3. People who want the extensive benefits and protections
  4. People who are eligible for their preferred rewards program

Who it isn’t perfect for:

  1. People who spend in a variety of categories
  2. People who won’t be able to reach the minimum spending amount for the sign-up bonus
  3. People who want a higher reward amount
  4. People who don’t want an annual fee

If you are still unsure if a rewards credit card makes sense, check out my post on Why You Should Use Rewards Credit Cards.

Additionally, if this card isn’t right for you, I invite you to check out my credit cards page for more information on other cards.

About the author

Mr. NahasFinance:

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