Table of Contents

Unlocking Visa Card Benefits with Bank of America Preferred Rewards: A Deep Dive

So, you’re aiming to leverage your Bank of America Preferred Rewards status to snag a Visa card and maximize its benefits? The path isn’t always immediately clear, especially navigating the discussions and sometimes conflicting information on platforms like Reddit. Here’s the definitive guide:

The core principle is straightforward: Preferred Rewards itself doesn’t directly grant you a Visa card. Instead, it enhances the benefits of eligible Bank of America Visa cards you already hold, or plan to apply for. Think of Preferred Rewards as a booster pack that supercharges your chosen Visa card. The stronger your Preferred Rewards tier (Gold, Platinum, Platinum Honors, Diamond, Diamond Honors, Diamond Tier), the greater the rewards boost, interest rate reductions (on loans and mortgages), and other perks you’ll receive on your existing or newly approved Bank of America Visa. The key is to first qualify for Preferred Rewards by meeting the combined balances criteria in your Bank of America deposit accounts and/or Merrill investment accounts. Then, you apply for a Bank of America Visa card. Once approved, the Preferred Rewards benefits will automatically be applied.

Understanding the Foundation: Preferred Rewards Tiers

Before diving into specific cards, it’s crucial to grasp the mechanics of Preferred Rewards. Your tier depends on the combined average daily balances of your Bank of America deposit accounts (checking, savings, CDs) and/or your Merrill investment accounts.

Gold: $20,000 – $49,999
Platinum: $50,000 – $99,999
Platinum Honors: $100,000+
Diamond: $1,000,000 – $9,999,999
Diamond Honors: $10,000,000+
Diamond Tier: $10,000,000+ (requires invitation and further qualification)

These tiers unlock progressively better benefits, primarily in the form of rewards bonuses on credit card spending.

Choosing the Right Bank of America Visa Card

Bank of America offers a range of Visa cards catering to different spending habits and priorities. Here are some popular options to consider in conjunction with your Preferred Rewards status:

Bank of America® Premium Rewards® credit card: A solid all-around card with travel and dining benefits. Earns 2 points per dollar on travel and dining, and 1.5 points per dollar on all other purchases. With Platinum Honors, that 1.5 points effectively becomes 2.625 points, making it a formidable everyday spending card.
Bank of America® Travel Rewards credit card: A simple, no-annual-fee option for those who want straightforward travel rewards. Earns 1.5 points per dollar on all purchases. Again, this is boosted significantly by Preferred Rewards.
Bank of America® Customized Cash Rewards credit card: Offers 3% cash back in a category of your choice (online shopping, gas, dining, travel, drug stores, or home improvement/furnishings), 2% at grocery stores and wholesale clubs (on the first $2,500 in combined choice category/grocery store/wholesale club purchases each quarter), and 1% on everything else. The boosted rewards from Preferred Rewards make this card highly competitive, particularly in your chosen 3% category.
Bank of America® Unlimited Cash Rewards credit card: Earn 1.5% cash back on all purchases, offering simplicity and a flat reward rate. Preferred Rewards amplify this already user-friendly cashback card, making it an attractive option for everyday spending.

How Preferred Rewards Enhances Your Visa Card

The magic lies in the bonus rewards. For example, the Platinum Honors tier provides a 75% bonus on the rewards you earn with your eligible Bank of America Visa card. Let’s illustrate:

Base Reward: If a card earns 1 point/dollar, the bonus is 0.75 points/dollar.
Total Reward: You effectively earn 1.75 points/dollar.

This significant boost can drastically increase the value of your credit card spending. The higher your Preferred Rewards tier, the greater the bonus.

Applying for the Visa Card

Ensure you meet the Preferred Rewards eligibility criteria. This is the foundational step.
Research and select the Bank of America Visa card that aligns with your spending habits and rewards goals.
Apply for the Visa card online or in-branch. Be prepared to provide information about your income, employment, and credit history.
Upon approval, link your eligible Bank of America deposit and investment accounts to your Preferred Rewards account. This is usually automatic if you already have a qualifying combined balance.
Start earning rewards and enjoy the boosted benefits based on your Preferred Rewards tier.

Addressing Common Reddit Concerns

Navigating Reddit threads can be overwhelming. Here are some common questions and clarifications:

“Can I get Preferred Rewards just by having a Bank of America Visa card?” No, Preferred Rewards is tied to your deposit and investment balances, not directly to credit card ownership.
“Does Preferred Rewards waive the annual fee on credit cards?” Generally, no. Preferred Rewards primarily enhances rewards earning rates and offers interest rate discounts on loans and mortgages.
“Are all Bank of America Visa cards eligible for Preferred Rewards benefits?” While most are, it’s crucial to verify eligibility with Bank of America directly, especially for co-branded cards or older card products.
“How long does it take for Preferred Rewards benefits to kick in after I qualify?” It typically takes one to two billing cycles for the benefits to be fully implemented.

FAQs: Your Comprehensive Guide to Bank of America Visa Cards and Preferred Rewards

Here are 12 frequently asked questions to further clarify how to maximize your benefits:

1. What’s the best Bank of America Visa card for travel rewards with Preferred Rewards?

The Bank of America® Premium Rewards® credit card is an excellent choice when combined with Platinum Honors or higher. The boosted rewards on travel and dining (effectively 2.625 points per dollar with Platinum Honors) combined with the $100 airline incidental credit, make it a strong travel rewards card.

2. Can I have multiple Bank of America Visa cards and still get Preferred Rewards benefits on each?

Yes, you can. As long as each card is eligible for Preferred Rewards, the benefits will apply to all your eligible cards based on your tier.

3. How often does Bank of America review my Preferred Rewards status?

Bank of America typically reviews your combined balances monthly to determine your tier. Changes in your balances can impact your tier level.

4. What happens if my combined balances drop below the threshold for my current Preferred Rewards tier?

You will be moved to the appropriate tier based on your new balance. Your benefits will then be adjusted accordingly.

5. Is there a limit to the amount of bonus rewards I can earn through Preferred Rewards?

While the percentage bonus is fixed based on your tier, there isn’t a stated cap on the total amount of bonus rewards you can earn on eligible spending.

6. Does having a mortgage with Bank of America contribute to my Preferred Rewards tier?

No, only balances in eligible deposit accounts (checking, savings, CDs) and Merrill investment accounts contribute to your Preferred Rewards tier qualification. However, Preferred Rewards does offer interest rate discounts on mortgages.

7. Can I use points earned through my Bank of America Visa card for statement credits?

Yes, you can typically redeem points for statement credits, travel, gift cards, or cash deposits into a Bank of America or Merrill account. The redemption value may vary depending on the option you choose.

8. How do I maximize the 3% category on the Bank of America® Customized Cash Rewards credit card with Preferred Rewards?

Choose the category where you spend the most. With Platinum Honors, that 3% becomes 5.25%, making it a significant return on your spending in that specific category. Track your spending and adjust the category quarterly to optimize your rewards.

9. Are business Bank of America Visa cards eligible for Preferred Rewards?

Generally, no. Preferred Rewards benefits are typically restricted to personal Bank of America Visa cards.

10. How do I redeem my points for the best value?

Evaluate your options. Often, redeeming for travel can offer higher value compared to statement credits or cash back, but this depends on your individual travel habits and the redemption rates at the time.

11. Does Bank of America offer any signup bonuses for their Visa cards, and are these affected by Preferred Rewards?

Yes, Bank of America often offers signup bonuses for their Visa cards. These bonuses are separate from Preferred Rewards and are not directly affected by your tier.

12. Where can I find the most up-to-date information on Preferred Rewards and eligible Visa cards?

The official Bank of America website is the most reliable source. Always refer to the terms and conditions of both the Preferred Rewards program and the specific Visa card you’re considering. Reddit can be a great source for user experiences, but always double-check the information with the official source.

By understanding the interplay between Bank of America Preferred Rewards and their Visa cards, you can strategically choose the right cards and maximize your benefits, moving beyond the noise and misinformation sometimes found online. Remember to always prioritize your own financial needs and spending habits when making decisions.