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If you're open to using Bank of America as your main financial institution, you could get exclusive benefits through its rewards program. The Bank of America Preferred Rewards program is the bank's way of giving more to its loyal customers. It offers perks with many of the financial products Bank of America offers, such as bonuses to maximize your credit card rewards and lower loan costs.
Access to the program is based on your account balances with Bank of America and Merrill. Since this is a tiered program, the benefits get better for clients with higher average balances. Even if you're shopping around for the best credit cards, Preferred Rewards benefits could play a big role in which card is right for you. Keep reading for all the details on the Preferred Rewards program.
Bank of America Preferred Rewards is the bank's rewards program for clients who meet certain balance requirements. Enrollment is available once you have a three-month combined average daily balance of $20,000 across eligible accounts.
Preferred Rewards benefits cover quite a few of the financial products available through Bank of America. You can get bonus credit card rewards, reduced investing and loan fees, and much more.
The value of the Preferred Rewards program depends on whether you plan to use Bank of America's products and services. If you do and you have the required assets, then it makes sense to deposit them with Bank of America and become a Preferred Rewards member. Bonus credit card rewards are especially valuable. Even among the best rewards credit cards, it's hard to find any that match what you can get with Bank of America Preferred Rewards.
The option to enroll in Bank of America Preferred Rewards is available in your online banking account when you meet the balance requirements. Upon enrollment, Bank of America puts you in the appropriate Preferred Rewards tier based on your balances. You then receive the Preferred Rewards benefits for clients in that tier. There are three tiers in the Preferred Rewards program, each with their own qualifying balances:
Bank of America uses your three-month combined average daily balance in eligible accounts to determine your tier. You can move up from one Preferred Rewards tier to the next by increasing your account balances. Once your three-month combined average daily balance is high enough for the next tier, Bank of America will upgrade you.
If your balances decrease, you keep your Preferred Rewards status for one year plus a three-month grace period. After the grace period ends, Bank of America will see whether you meet balance requirements for your previous Preferred Rewards status. If not, you'll either be moved to a lower tier or lose Preferred Rewards benefits.
To qualify for the Preferred Rewards program, there are two requirements:
Here are eligible accounts that count towards the Bank of America Preferred Rewards program:
You need to be the owner or co-owner on the account for its balance to qualify. Business accounts don't qualify for this program. There is, however, a Bank of America Preferred Rewards for Business program.
Here are the benefits for each tier of the Bank of America Preferred Rewards program:
|Savings account interest rate booster||5%||10%||20%|
|Credit card rewards bonus||25%||50%||75%|
|No-fee transactions at non-Bank of America ATMs||0||Up to 12 per year||Unlimited|
|Merrill Guided Investing program fee discount||0.05%||0.10%||0.15%|
|Reduction in mortgage origination fee||$200||$400||$600|
|Home equity interest rate discount||0.125%||0.250%||0.375%|
|Auto loan interest rate discount||0.25%||0.35%||0.50%|
|Select banking services||No fees||No fees||No fees|
To better explain how these benefits work, let's take a closer look at each one.
You receive a higher interest rate on a Bank of America Advantage Savings account. Keep in mind that even with a boost, Bank of America offers much lower interest rates than you could get from the best high-yield savings accounts.
Eligible Bank of America rewards credit cards earn bonus rewards on every purchase. Most Bank of America consumer credit cards are eligible, including its top cash reward and travel credit cards. If you're looking for a Bank of America card, comparing credit card offers is a good way to find the right one.
This benefit applies to U.S. ATMs. The ATM fee waiver isn't available with the Gold tier, only the Platinum tier and the Platinum Honors tier.
You receive a discount on Merrill Guided Investing, which offers professionally managed portfolios and requires a $1,000 minimum investment. If you want to use Merrill Guided Investing with an advisor, the minimum investment is $20,000.
You save on mortgage origination fees when closing on a new Bank of America purchase or refinance mortgage.
You get a discount on the interest rate when opening a new home equity line of credit (HELOC).
You get a discount on the interest rate of a new Bank of America auto purchase or refinance loan.
Preferred Rewards clients at every tier receive the following banking fee waivers:
Platinum and Platinum Honors clients also don't pay fees for incoming international wire transfers and a small safe deposit box.
To enroll in the Bank of America Preferred Rewards program, deposit at least $20,000 across eligible Bank of America and Merrill Lynch accounts. Maintain an average combined daily balance of $20,000 or more for three months.
Once you qualify for the Preferred Rewards program, the enrollment option is available when you sign in to your online banking account. Choose to enroll, and Bank of America will put you in the program at the appropriate tier.
Bank of America Preferred Rewards is a rewards program offering exclusive benefits across its financial services. The program is available to clients with a combined average daily balance of at least $20,000 in eligible Bank of America bank accounts and Merrill investment accounts.
Bank of America gives you the option to enroll in the Preferred Rewards program when you meet the balance requirements. Once you enroll through your online banking account, you automatically receive Preferred Rewards benefits.
To qualify for the Preferred Rewards program, you must have a combined daily average balance of at least $20,000 in eligible accounts for three months. Eligible accounts are Bank of America bank accounts and Merrill investment accounts.
The Bank of America Preferred Rewards program has multiple tiers. Here are the tiers and the balance requirements for each one:
The Preferred Rewards program offers the following benefits:
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