Advertiser Disclosure: Many of the companies featured here provide compensation to us. This is how we maintain our free service. 

Advertiser Disclosure: Many of the companies featured here provide compensation to us. This is how we maintain our free service. Compensation and in-depth editorial research, determines where & how companies appear below. 

Advertiser Disclosure: Many of the companies featured here provide compensation to us. This is how we maintain our free service. 

Advertiser Disclosure: Many of the companies featured here provide compensation to us. This is how we maintain our free service. Compensation and in-depth editorial research, determines where & how companies appear below. 

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Bank of America® Unlimited Cash Rewards Credit Card Review

Earn unlimited 1.5% cash back on all purchases, plus get a $200 online cash rewards bonus offer.

Bank of America® Unlimited Cash Rewards Credit Card Review

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Earn unlimited 1.5% cash back on all purchases, plus get a $200 online cash rewards bonus offer.

Editorial Disclosure: Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities.

Introduction

When it comes to selecting a credit card, simplicity, and rewards are often at the top of a consumer’s wish list. The Bank of America® Unlimited Cash Rewards Credit Card is an appealing product that promises to meet both of these needs. It is a cash-back credit card that offers a straightforward rewards structure where cardholders can earn unlimited 1.5% cash back on all purchases. This card appeals to a wide range of consumers, especially those who prefer an uncomplicated approach to earning and redeeming credit card rewards. With a welcoming sign-up bonus and a $0 annual fee, this card positions itself as an attractive option for anyone looking to get consistent rewards on their everyday spending.

Welcome Bonus

The welcome bonus is a critical factor for many when choosing a new credit card, and the Bank of America® Unlimited Cash Rewards Credit Card offers a straightforward yet rewarding bonus for new cardholders:

  • Welcome Bonus Offer: Cardholders can earn a $200 online cash rewards bonus, presenting an immediate return on their spending.
  • Qualifying Purchases: The bonus requires at least $1,000 in purchases within the first three months of account opening, making it accessible for regular spenders.
  • Strategic Spending: This initial period is ideal for timing major purchases or consolidating spending to meet the threshold without unnecessary expenditure.
  • Advantage Over Competitors: When compared to other cash-back cards, this bonus is competitive, especially considering the absence of an annual fee, offering significant value right from the start.
  • Ease of Achievement: The spending requirement is designed to be achievable for a broad base of consumers, avoiding the high thresholds seen with some rewards cards.
  • Immediate Benefit: The cash bonus is a direct boost to the cardholder’s rewards balance, offering flexibility in how it can be utilized, whether for statement credits, savings, or other financial goals.
  • Potential Planning: Prospective cardholders might find this bonus particularly appealing for planning larger purchases or expenses, ensuring they maximize the return on those early transactions.

The sign-up bonus is competitive, considering the market average, and its ease of attainment makes it a solid option for those looking for an uncomplicated reward. With no rotating categories or additional fees associated with the welcome offer, the Bank of America® Unlimited Cash Rewards Credit Card shines as an attractive choice for its simplicity and a straightforward path to bonus cash back.

Earning Rewards

Earning rewards with the Bank of America® Unlimited Cash Rewards Credit Card is straightforward:

  • Flat-Rate Cash Back: Earn a consistent 1.5% cash back on every purchase, without the need to track spending categories or sign up for quarterly bonuses.
  • Enhanced Earnings for Preferred Rewards Members: Bank of America Preferred Rewards® members can boost their cashback rate significantly. Depending on your tier within the program (Gold, Platinum, Platinum Honors, Diamond, or Diamond Honors), you could earn up to 2.62% cash back on all purchases.
    • Gold Tier: 25% bonus on rewards
    • Platinum Tier: 50% bonus on rewards
    • Platinum Honors, Diamond, and Diamond Honors Tiers: 75% bonus on rewards
  • No Caps or Expirations: There’s no limit to the amount of cash back you can earn, and your rewards don’t expire, giving you the freedom to accumulate and use them at your leisure.
  • Simplicity in Earning: With a flat rate on all purchases, this card eliminates the need to juggle cards for different spending categories, streamlining the rewards process and making it easier to earn cash back on every transaction.

To get the most out of the card:

  • Use Regularly: Put all your everyday purchases on the card to maximize cash back.
  • Budget Wisely: Stick to your budget to avoid unnecessary spending for the sake of rewards.
  • Leverage Bank of America Bonuses: Preferred Rewards members enjoy bonus cash back.

This card is ideal for those who value straightforward earning without the hassle of tracking spending categories. The consistent reward rate and the flexibility of no caps make it an attractive option for everyday use.

Redeeming Rewards

Redeeming rewards on the Bank of America® Unlimited Cash Rewards Credit Card is flexible and convenient:

  • Options: Use your cash back as a statement credit, deposit into Bank of America® or Merrill accounts, or contribute towards a qualifying mortgage.
  • No Minimums: Redeem rewards in any amount at any time.
  • Ease of Use: Automatic redemption options are available for added convenience.

Here are some tips to optimize your redemption:

  • Automatic Redemption: Set up automatic redemption to a Bank of America® checking or savings account to streamline the process.
  • Timing Redemptions: Consider redeeming your rewards against larger statement balances to minimize out-of-pocket expenses.
  • Rewards Don’t Expire: Since rewards do not expire, you can accumulate them and redeem them when it’s most beneficial for you.

The redemption flexibility offered by the Bank of America® Unlimited Cash Rewards Credit Card adds value to its reward program, making it easy to access and use your cash back whenever you choose to.

Perks and Benefits

In addition to cashback rewards, the Bank of America® Unlimited Cash Rewards Credit Card comes with a suite of perks and benefits that enhance its value:

  • $0 Liability Guarantee: Offers protection from fraudulent transactions.
  • Free Access to FICO Score: Keep track of your credit score through the Bank of America® mobile app or online banking.
  • Digital Wallet Technology: The card is compatible with digital wallets for secure and convenient payments.

As a cardholder, consider these additional advantages:

  • Overdraft Protection: Link your card to a Bank of America® checking account to prevent overdrafts.
  • Text Banking: Get account updates and manage your spending on the go.
  • Customizable Alerts: Stay informed and manage your account with custom alerts about your balance, due dates, and more.

With a focus on security, convenience, and control over your finances, the perks attached to the Bank of America® Unlimited Cash Rewards Credit Card make it more than just a cash-back tool – it’s a comprehensive financial companion.

Pros and Cons

The Bank of America® Unlimited Cash Rewards Credit Card has its fair share of advantages and potential drawbacks that prospective cardholders should consider.

Pros:

  • Uncomplicated Rewards: Earn unlimited 1.5% cash back on every purchase, with no categories to track.
  • Easy-to-Get Welcome Bonus: The $200 bonus after spending $1,000 in the first 90 days is achievable for many budgets.
  • No Annual Fee: This card doesn’t cost anything to carry, increasing the net value of rewards earned.
  • Preferred Rewards Program: BofA customers can earn more cashback if they’re in the Preferred Rewards program.

Cons:

  • Higher Rewards Elsewhere: Some cards may offer higher cash-back rates or specific rewards for different categories.
  • No Special Financing: The card doesn’t offer a 0% introductory APR on purchases or balance transfers, which some competing cards do.
  • Limited Additional Perks: The card lacks some of the travel and luxury perks that come with higher-tier rewards cards.

The Bank of America® Unlimited Cash Rewards Credit Card is a solid choice for those who want simplicity and steady rewards, especially if they’re already banking with BofA and can benefit from the Preferred Rewards program. However, those looking for the highest possible reward rate or special financing deals might find better options elsewhere.

Comparison to Other Cards

When comparing the Bank of America® Unlimited Cash Rewards Credit Card to other credit cards in the market, it holds a strong position, particularly for those seeking uncomplicated cash-back rewards.

  • No Annual Fee: Many cards with similar reward structures come with an annual fee, but this card does not.
  • Flat-Rate Cash Back: At 1.5% cash back on all purchases with no cap, it competes well with other flat-rate cards that may offer a higher rate on certain categories but less on others.
  • Welcome Bonus: The $200 cash reward bonus is competitive with other no-annual-fee cards, offering a good balance between spending requirements and reward.

However, it’s also important to weigh this against what else is available:

  • Higher Rewards Rates: Some cards offer up to 2% or more on all purchases or higher rates in specific spending categories like dining or travel.
  • Added Perks: Other cards may include perks like travel credits, airport lounge access, or different insurance options which this card lacks.

For those who are current Bank of America customers, especially Preferred Rewards members, this card may offer additional value compared to other banks’ cards. For non-customers, it’s a strong contender for simplicity and solid rewards, but it’s always worth evaluating the specifics of one’s spending habits and card preferences to find the best fit.

Conclusion

The Bank of America® Unlimited Cash Rewards Credit Card is a strong player in the field of no-annual-fee, cash-back cards. It’s ideal for those who seek simplicity in their rewards program and value consistent earning potential across all spending. With an accessible welcome bonus, benefits for Bank of America customers, and straightforward redemption options, it’s tailored for the everyday shopper. While it might not have the highest rewards rate or luxury perks, its uncomplicated nature makes it a valuable card for a broad user base, especially for those loyal to Bank of America.

Frequently Asked Questions

How do credit card rewards work? Credit card rewards are incentives provided by credit card companies to cardholders who use their cards to make purchases. Rewards can come in the form of points, miles, or cash back, and can often be redeemed for travel, merchandise, statement credits, or cash.

What is a good APR for a credit card? A good APR (Annual Percentage Rate) for a credit card is one that is below the national average, which typically hovers around 15% to 17%. However, the best APR is one that you can avoid entirely by paying off your balance in full each month to avoid interest charges.

Can you improve your credit score by using a credit card? Yes, using a credit card responsibly by making timely payments and keeping your credit utilization low can help build and improve your credit score over time.

What should you consider when choosing a credit card? When choosing a credit card, consider factors such as the type of rewards offered, the APR, annual fees, additional cardholder benefits, your spending habits, and whether you are likely to carry a balance.

How do you avoid paying interest on credit cards? To avoid paying interest on credit cards, pay your statement balance in full and on time each month. Most credit cards have a grace period, so if you pay in full before the due date, you won’t be charged interest on purchases.

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