Cash back credit cards are not the best option for everyone but for a responsible credit card holder who does not like to carry a balance on their plastic they can be an excellent choice. Long respected as one of the most reliable names in the banking business Bank of America now offers two different cash back credit cards for you to consider.
BankAmericard Cash Rewards™ Visa Signature Card
This Visa card offers all the benefits and security features that are attached to basic Bank of America credit cards but with the addition of flexible, easy to earn cash back rewards that can add up rather quickly if you use the card on a regular basis.
The BankAmericard Cash Rewards Visa Signature card comes with an initial 0% APR on all purchases (not on balance transfers though) which rises to a variable rate of 12.99% – 20.99% depending upon credit worthiness and current card repayment record. The card also comes with a Total Security Package at no charge which is designed to provide card holders with extra protection against identity theft and fraudulent card use. There is no annual fee for having the BankAmericard Cash Rewards Credit Card. Fees for balance transfers are 4% of the transaction with a minimum of ten dollars.
The BankAmericard Cash Rewards Visa Signature card also has a couple of other basic benefits that are worth mentioning. If you have a Bank of America checking account you can choose to link your Visa card to it to act as a backup funding source to prevent overdrafts, provided you have a suffice amount of credit left to cover the transaction. This could prove to be very useful, especially considering just how high bounced check and overdraft fees are these days.
The second notable basic extra advantage of the BankAmericard Cash Rewards Visa Signature card is a touch and pay feature that allows you speed through checkouts. The touch and pay card is a desperate smaller card, designed to fit onto a key ring and this too could prove very useful, on those rushed mornings when you are already late for work!
When it comes to the cash back rewards associated with this card cardholders receive 1% cash back on all purchases made with the card and for the first six months of card membership grocery, cash and drug store purchases are eligible for a 3% cash back reward rate. Cash rewards can be redeemed as soon as the balance reaches $25 or automatic dispersals can be set up by the card holder. Rewards are payable in the form of a check or a direct deposit and can even be used to make a payment on any Bank of America mortgage.
Bank of America Accelerated Cash Rewards™ American Express Card
The alternative to the Visa Signature card offered by Bank of America is a branded American Express card that also offers significant cash back rewards. The card comes with an introductory 0% interest rate on all purchases for the first 12 billing cycles and is subject to a 12.99-20.99% APR after that. The introductory rate does not apply to balance transfers though, which are charged a 4% upon transfer.
Possibly the most attractive feature of this cash back credit card is the rate at which rewards are earned – 1.5% on all purchases. In addition you can score a $50 bonus if you spend $50 on your card within the first 60 days of card membership as well as an additional $25 if you register your credit card for an online promotion and the use it at Walmart, Home Depot or TGI Fridays within the same 60 day time frame.
Perhaps the only downside of this card versus other cash rewards credit cards is that cash rewards cannot be redeemed until you hit a balance of at least $50. At that point you can choose to have them issued either as a bank check or as a direct deposit to your Bank of America checking account or as a payment on a Bank of America mortgage.
Who Should Use These Cards?
Cash back rewards cards of any kind are not suitable for everyone. Most cash back rewards credit cards have a higher APR attached to them than other more basic credit cards. If you are not the type of person who makes a habit of paying off your credit card balances in full every month then this extra charge can really add up, effectively canceling out any cash back rewards you might earn.
In order to get the most out of either of these Bank of America cash back credit cards users can consider paying for purchases they would have made using cash or a check with the card instead and then putting the money aside so it is easy to pay off the full amount of your credit card bill every month while earning the maximum possible cash back rewards.