Sunday, August 18, 2013

Bank of America Privileges Credit Card - 4.5% Cashback at Gas Stations

There are two possible credit cards that I knew about that give good rewards for gas purchases (not including rotating 5% categories) and cary no annual fee:

A reader, JF, pointed me to a credit card which I didn't know about that is even better for some people.

Introducing the Bank of America Privileges Card.  It is the same 3% back at gas stations, but instead of a 10% bonus into a Bank of America checking account, you will get a 50% bonus!  That is effectively getting 4.5% cashback on gas purchases!

A few things to note:

  • Annual Fee 
    • The card is open to all, but unless you have $50,000 with Bank of America or its Affiliates (includes Merrill Lynch), there is a $75 annual fee the second year.  The annual fee is waived every year if you have $50,000 with them.
    • I would not get the card unless you already have $50,000 with Bank of America that you aren't planning on moving.  The extra 1.5% is not worth the $75 annual fee.
  • Your base rate of 3% doesn't change, all the changes is your bonus.  Therefore, any rewards you have built up before you switch to the privileges card should be redeemed at the higher 4.5% rate.
  • If you already have a Bank of America Cash Rewards card you can call up and have your card automatically switched into a Bank of America Privileges card.