@Follower wrote:
@bs1234 wrote:
@DoppelgangerD wrote:When you mention this to people, it would be more helpful if you mentioned that they need a minimum of $100k+ of assets with Bank Of America to get that 5.25% cash back. 😉
@Vinjints wrote:Since you're in the BOA system, do you have access to the preferred rewards? That could be upwards of 5.25% back for online spend. Not sure what the world card is, though.
True, but it can be in IRA assets for example, rather than sitting in a checking account (as in the nerfed Smartly v2). Yes, not everyone has $100K in an IRA but hey, it's a good goal and for credit card junkies they now have the added incentive that they will get 5.25%
Also, you don't necessarily have to start the Preferred Rewards program by immediately jumping to Platinum Honors level. $20K saved or invested will move the chosen CCR category to 3.75% back — still a significant increase.
Very true!
The Bank of America Customized Cash Rewards is one of the best generalized "Online Shopping" category rewards cards at 3%.
With >Preferred Rewards< "Gold Status" ($20K to $50K); Platinum ($50K to $100K); or Platinum Honors ($100K to $1M), the credit card rewards increase by 25%; 50%; and 75% respectively. And those sums can be kept in IRA or Merrill Edge investment accounts. Those rates would yield respectively:
3.00 x 1.25 = 3.75%
3.00 x 1.50 = 4.50%
3.00 x 1.50 = 5.25%
And those rates would be earned on each of multiple CCRs, since BofA allows more than one.
It's worth noting that qualifying for Preferred Rewards also earns the following BASE earning rates (uncapped and uncategorized) from either the Unlimited Cashed Cash Rewards, Premium Rewards, or Premium Rewards Elite:
1.50 x 1.25 = 1.875%
1.50 x 1.50 = 2.25%
1.50 x 1.75 = 2.625%
There's are ways to earn 5% on online shopping on selected websites. That includes:
- Chase Amazon Prime Visa (5% back on Amazon with Prime membership)
- Target Circle Card (credit or debit: 5% back)
- Walmart One Pay Cash Rewards (with Walmart+ membership - 5% back)
Work-around hint:
If you have one of the 5% rotating category cards (Discover IT; Freedom Flex; etc) you can purchase gift cards with an effective 5% discount rate for a variety of online or combination merchants. For example purchase gift cards are sold at drug stores, office supply stores, or grocery stores when that category is the 5% category for the quarter. Then redeem at location of your choice. I've seen cards at many major retailers that sell online including eBay, Macy's, Target, Apple, Bath and Body Works, or Cabela's for just a few.
Rakuten for 4% back + any Rakuten bonus.
Another option to get a high relative rewards on any category would be to add a new card SUB into the mix. SUBs have a variety of spending requirements and the higher SUBs tend to require more spend. However, it's possible to find one that fits almost any budget or spending goal.