Bank of America Preferred Rewards: How It Works and Who Qualifies

Preferred Rewards is a loyalty program built around your relationship with Bank of America — not a standalone product you sign up for on its own. The more you keep across eligible Bank of America deposit accounts and Merrill investment accounts, the more the program gives back. Benefits range from bigger credit card rewards to reduced mortgage origination fees to waived account fees, all tied to a single combined balance number.

The program costs nothing to join. Eligibility is determined entirely by your three-month average combined balance — not a point-in-time snapshot of what's in your account on a given Tuesday. That distinction matters: if your balance fluctuates month to month, the three-month average smooths those swings and gives you a more stable picture of where you stand.

What counts toward your combined balance

• Eligible Bank of America deposit accounts: checking, savings, CDs, money market accounts
• Eligible Merrill investment accounts: Merrill Edge Self-Directed, Merrill Guided Investing
• The balance is recalculated each month based on the rolling three-month average

What "combined balance" does not mean

You are not locking money up or opening a restricted account. Your funds stay fully accessible — in your checking account, your savings account, your brokerage account — exactly as they were before. The balance qualifies you for a tier; it does not change how you use your money.

How it differs from a standard rewards credit card

Preferred Rewards does not replace your credit card's rewards structure — it multiplies it. Your card still earns its base rate on every purchase. The program adds a bonus on top of that base rate. A flat-rate cash back card earning 1.5% at the base level earns up to 2.625% at Platinum Honors tier. That bonus stacks without requiring a different card, a different spending category, or a different bank.

Preferred Rewards has three tiers built for everyday banking and investing customers. Bank of America has also introduced Diamond and Diamond Honors tiers for balances of $1 million and $10 million respectively — those are structured for private banking relationships and are outside the scope of most members. Gold, Platinum, and Platinum Honors cover the vast majority of eligible customers.

Gold — $20,000 combined balance

• Credit card rewards bonus: 25% on top of your base earning rate
• Savings interest rate booster: 5% increase on Bank of America's existing savings rate
• ATM fee reimbursements: up to 12 per year at non-Bank of America ATMs
• Mortgage origination fee discount: $200

Platinum — $50,000 combined balance

• Credit card rewards bonus: 50% on top of your base earning rate
• Savings interest rate booster: 10% increase
• ATM fee reimbursements: up to 24 per year
• Mortgage origination fee discount: $400
• One no-fee personal check order per year

Platinum Honors — $100,000 combined balance

• Credit card rewards bonus: 75% on top of your base earning rate
• Savings interest rate booster: 20% increase
• ATM fee reimbursements: unlimited
• Mortgage origination fee discount: $600
• Priority service access

The credit card rewards bonus is the most valuable benefit for most members.

The credit card rewards bonus is the most valuable benefit for most members. A 75% bonus on a flat-rate 1.5% cash back card brings the effective rate to 2.625% on every purchase — no rotating categories, no activation, no spending caps to track.

The rewards bonus applies to eligible Bank of America consumer credit cards — not all cards in the portfolio. Knowing which cards qualify is essential before counting on the bonus as part of your rewards strategy.

Cards that earn Preferred Rewards bonuses

• Bank of America® Customized Cash Rewards credit card — base 1–3% cash back depending on category, boosted at each tier. Good fit for customers who want to direct more rewards to a specific spending category.
• Bank of America® Unlimited Cash Rewards credit card — flat 1.5% base on every purchase, boosted to up to 2.625% at Platinum Honors. Straightforward for customers who want one card, one rate, no category management.
• Bank of America® Travel Rewards credit card — 1.5 points per dollar on all purchases, boosted at each tier. No annual fee. Good fit for occasional travelers who want flexible redemption without committing to a specific airline or hotel program.
• Bank of America® Premium Rewards credit card — 2 points on travel and dining, 1.5 on everything else, with an annual fee. Boosted at each tier. Best fit for customers who spend heavily on travel and dining and want the higher base rate to compound with the Preferred Rewards bonus.

Cards that do not earn Preferred Rewards bonuses

Co-branded airline and hotel cards issued through Bank of America — including the Alaska Airlines Visa — operate under separate rewards structures and are not eligible for the Preferred Rewards credit card bonus. If your primary card is a co-branded travel card, the program's rewards boost does not apply to that card's earning rate.

No annual fee options

Both the Customized Cash Rewards and Unlimited Cash Rewards cards carry no annual fee. Customers who want to maximize the Preferred Rewards bonus without paying a yearly card fee can use either of those cards as their primary card.

Enrollment is handled entirely through Bank of America Online Banking or the mobile app. There is no separate application, no credit check, and no fee.

Checking your balance eligibility

1. Log in to Bank of America Online Banking or the mobile app
2. Navigate to Rewards & Offers — your current three-month average combined balance is displayed there
3. If you're close to a tier threshold, the dashboard shows how much more you'd need to add to qualify

Enrollment steps

1. Once eligible, Bank of America typically sends an enrollment invitation
2. You can also enroll directly under the Rewards section in Online Banking without waiting for the invitation
3. Enrollment takes effect the following calendar month after you qualify

Maintaining your tier

Balances are recalculated each month. If your three-month average drops below a tier threshold, Bank of America provides a grace period before adjusting your tier downward — the exact length is disclosed in program terms at enrollment. You do not lose benefits immediately if your balance dips in a single month.

Using Merrill to reach a higher tier

One of the most common ways customers reach Platinum or Platinum Honors is by pairing a Bank of America checking account with a Merrill Edge Self-Directed brokerage account. Customers who already invest in a taxable brokerage account somewhere else can move that account to Merrill Edge without necessarily changing how they invest — the holdings transfer, and the balance counts toward the Preferred Rewards threshold.

Preferred Rewards rewards concentration. The program is designed for customers who have already chosen Bank of America as their primary bank, or who are willing to consolidate enough of their deposits and investments there to hit a tier threshold. For those customers, the value is real and the math is transparent. For customers whose assets are spread across multiple institutions — and who have no interest in consolidating — the program offers nothing below the $20,000 threshold.

Built for

• Customers who already bank with Bank of America and want their existing relationship to earn more
• Customers who have investment accounts at Merrill or are considering moving investments there to consolidate
• Customers who carry Bank of America credit cards and want to maximize cash back or travel points without switching cards
• Customers who want premium perks — fee waivers, mortgage discounts, priority service — tied to a single banking relationship

Less likely to fit

• Customers whose assets are spread across banks and investment accounts and who prefer to keep them that way
• Customers whose combined balances fall below $20,000 — the program offers no benefits below that threshold
• Customers looking for the highest standalone savings rate — Preferred Rewards' savings booster is a percentage increase on Bank of America's existing savings rate, which is already lower than what most online-only banks pay

The consolidation trade-off

The program rewards concentration at Bank of America, which means moving balances from other institutions to qualify or reach a higher tier. Customers should compare what they gain in Preferred Rewards benefits against what they give up in rates or features elsewhere. The savings rate booster, for example, increases an already-low rate by a percentage — it does not bring Bank of America's savings rate in line with what high-yield savings accounts at online banks typically pay. For customers whose primary goal is earning the highest possible rate on parked cash, that trade-off is worth examining before consolidating.