The Bank of America Cashpay MasterCard may be a solid thanks to earning cashback on your grocery and wholesale club spending, and it even allows you to earn bonus rewards on one other popular spending category of your choice. But there are limits that restrict the card’s value, especially if you’re not a Bank of America customer.
Who is that this MasterCard Best For?
If you’ve got good credit and your monthly spending patterns aren’t always that predictable, the Bank of America Cashpay MasterCard may be a great way to tailor your rewards to your biggest operating expense. In any given month, you’ll get to settle on one among several popular bonus categories to earn 3% cashback, and you’ll always earn 2% cash back at grocery stores and wholesale clubs.
While the two and three rates only apply to the primary $2,500 you charge to your card each quarter, eligible Bank of America banking customers will get rewards to spice up to assist offset these limitations. Customers with an enormous enough deposit balance in Bank of America or Merrill Lynch accounts will get 25% to 75% more in cash-back earnings. (More on this below.)
✔ Adaptable, competitive rewards rates
✔ Solid bonus
✔ Earnings caps
✔ Not as simple (or potentially lucrative) as a flat-rate card
✅ Pros Explained
✔ Adaptable, competitive reward rates: you would possibly see a better top tier on other cash-back cards, but you’ll not be ready to keep the category for extended than 1 / 4 (if it’s a revolving bonus card) and the likelihood is that you won’t get a choice of categories. Plus, if you’ve got an outsized chunk of cash in Bank of America and Merrill accounts, you’ll earn up to five .25% back in your top earning category.
✔ Solid bonus: Getting $200 cashback for spending $1,000 in your first 90 days isn’t half bad, and is comparable or better than competing offers.
✅ Cons Explained
✔ Earning caps: the three and a couple of cashback rewards only apply to the primary $2,500 you spend on those categories each quarter. Counting on your budget, this will drastically limit the rewards you’ll earn in these areas. (There isn’t, however, a limit on your 1% back earnings, which applies to all or any purchase once you’ve hit the edge.)
✔ Not as simple (or potentially lucrative) as a flat-rate card: many cash-back cards offer you 1.5% back on every dollar you spend, and there are even a couple of that provide 2%, under certain circumstances. This rewards scheme is more complicated. To urge the foremost out of the cardboard, you ought to anticipate where you’ll spend your money within the following month.
Bonus for brand spanking new Cardholders
The $200 bonus on this card is competitive with other cash-back credit cards with no annual fee—though you’ll need to spend $1,000 within 90 days of account opening to urge it, twice the maximum amount as some competitors require.
Earning Points & Rewards for Bank of America cashpay
The Bank of America cashpay MasterCard allows you to earn 3% cashback during a category of your choosing (gas, online shopping, dining, travel, drug stores, or home improvement/furnishings) and a couple of back at grocery stores and wholesale clubs. Those rates are limited to the primary $2,500 spent in both of those categories each quarter, then you’ll get an equivalent 1% back that applies to purchases altogether non-bonus categories.
While the three bonuses may be a solid reward rate, some cards offer 3% back in addition to one spending area. What’s more, a card with one rewards rate is simpler, and will potentially offer even more value, counting on your spending habits and therefore the particular card. Let’s say your quarterly spending consists of $1,500 on dining out—your chosen 3% category—$1,000 at grocery stores or wholesale clubs, and $3,000 on other purchases.
In that case, you’d earn $95 each quarter—$45 on dining, $20 at grocery stores and wholesale clubs, and $30 on regular spending. That’s $380 in rewards within a year. By comparison, if you spent an equivalent amount on a flat-rate cash-back card that provides you 2% back on everything, you’d make $440 during a year.
Breakdowns of rewards for Cashpay
Then again, if you’re a Bank of America customer with a minimum of $20,000 in deposits, you’ll boost those earnings. Here’s the breakdown, supported the typical three-month combined balance in qualified Bank of America and Merrill accounts:
✔ $20,000 to $49,999 on deposit (Gold): Earn 25% more rewards
✔ $50,000 to $99,999 on deposit (Platinum): Earn 50% more rewards
✔ $100,000 or more on deposit (Platinum Honors): Earn 75% more rewards
This means you’ll rise up to five .25% back on the highest bonus category (up to the $2,500 quarterly cap) and rival a number of the very best rewards rates on other credit cards.
Redeeming Rewards for of Bank of America Cashpay
The Cashpay MasterCard of Bank of America means it when it says it’s a cash-back credit card—there aren’t tons of the way to redeem your rewards. You can’t cash them certain travel, for instance, nor are you able to use them for gift cards or merchandise purchased through Bank of America. But, you’ll all right need a cash-back card to urge cash. And it is, after all, the foremost versatile. Plus, your rewards won’t expire as long as your account remains open.
You do have the subsequent options:
✔ Receive statement credits in any amount
✔ Get a deposit to your Bank of America checking or bank account, or an eligible Merrill Lynch or Merrill Edge account in any amount
✔ Contribute a minimum of $25 in rewards to a qualifying 529 college bank account with Merrill Lynch or Merrill Edge
How to Get the foremost Out of This Card
While the simplest thanks to maximizing your earnings are to be in Bank of America’s Preferred Rewards program. We recognize the deposit requirements could also be unrealistic for several. Luckily, earning them a $200 cash bonus is sort of a touch easier. Just spend a mean of $334 a month during your first three months.
From there, confirm you set all of your purchases from the bonus categories on this card. A minimum of until you hit the $2,500 quarterly limit for bonus points.
Customer Experience of Bank of America Cashpay
Bank of America gets average marks for customer service but ranks third out of 11 issuers in J.D. Power’s 2020 MasterCard Satisfaction Study. 1 It does have a well-liked mobile app that ranked second only to American Express during a separate J.D. Power study.2 Plus, you’ll get a free FICO score either online or through the app.
Security Features of Bank of America/cashpay
Bank of America offers standard security measures for a MasterCard. It does allow you to found out account alerts so you’re updated about payments, due dates, and more. Those could assist you to spot fraudulent charges.
None of the fees that accompany this card stand out from what competitors charge. Travel bugs should note that there’s a third foreign transaction fee. So you’ll want to use a special card for purchases in other countries.