Bank of America Premium Rewards credit card review: Not to be underestimated

Editor’s note: This is a recurring post, regularly updated with new information and offers. Bank of America Premium Rewards credit card overview If you qualify for the Bank of America Preferred Rewards® program, the Bank of America® Premium Rewards® credit card has the potential to be quite a lucrative card to use for everyday spending. …

May 27, 2025 - 11:10

Bank of America Premium Rewards credit card review: Not to be underestimated

Editor’s note: This is a recurring post, regularly updated with new information and offers.

Bank of America Premium Rewards credit card overview

If you qualify for the Bank of America Preferred Rewards® program, the Bank of America® Premium Rewards® credit card has the potential to be quite a lucrative card to use for everyday spending. For those who prefer other banks, there are better-earning travel cards available. Card rating*: ⭐⭐⭐½

* Card rating is based on the opinion of TPG’s editors and is not influenced by the card issuer.

Not everyone sees the value in Bank of America’s credit card offerings. Many have low or nonexistent annual fees, but they tend to lack the perks that are often associated with popular rewards cards. The rewards earned also don’t transfer to airline or hotel programs. But if you’re a part of the Preferred Rewards program, there can be some great benefits to having a Bank of America credit card.

Despite having premium in its name, this card isn’t like other products with annual fees in the $400-$500 range and a ton of perks. Instead, this card has a reasonable $95 annual fee and a more modest selection of benefits.

Still, it offers great flexibility in redeeming points and can produce outstanding earning rates if you can maximize Bank of America’s Preferred Rewards banking program. We recommend a credit score of at least 670 for this card.

Let’s dig into the details.

Bank of America Premium Rewards pros and cons

Pros	Cons
Preferred Rewards members can earn additional bonus points Airline incidentals credit TSA PreCheck or Global Entry credit Can transfer points earned into a 529 college fund	Other cards offer higher earning rates for key bonus categories Must open a Bank of America account to get the best value for points No transfer partners

Bank of America Premium Rewards welcome bonus

With the Premium Rewards card, you’ll receive 60,000 online bonus points after spending $4,000 on purchases in the first 90 days of account opening.

This is the standard offer on this card, so you may want to wait for an elevated offer before applying. That said, this card doesn’t typically offer limited-time offers, so don’t wait too long if you want to add this card to your wallet.

These points have a fixed value of 1 cent each, meaning this bonus is worth $600. This is far from the most lucrative bonus out there, but $600 can go a long way toward airfare, hotel costs or anything in between.

While Bank of America has no published restrictions that apply specifically to earning welcome bonuses, remember that it does have its 2/3/4 rule regarding card applications. You can only get approved for two Bank of America cards in a two-month period, three cards in a 12-month period and four cards in a 24-month period.

Remember that your entire credit profile will be considered, so approval is not guaranteed, even if you fall under these numbers. Lastly, there are no restrictions in the application terms saying that you cannot get this bonus if you previously had this card.

Bank of America Premium Rewards benefits

While the Premium Rewards card doesn’t hold a candle to top-tier cards like The Platinum Card® from American Express, it does come with nice perks for its low annual fee. Notable perks on this card include:

Up to $100 in statement credits annually for qualifying airline incidentals
Up to $100 statement credit for TSA PreCheck or Global Entry every four years
Baggage delay insurance
Lost luggage protection
Emergency evacuation and transportation
Trip delay, interruption and cancellation insurance
Purchase protections
Auto rental collision damage waiver

business woman with luggage on phone in hotel lobby — DAMIRCUDIC/GETTY IMAGES

This is a solid set of benefits for a card with a $95 annual fee. As long as you maximize the annual airline incidentals credit every year, you’ll get positive value out of this card. Cardholders also get access to certain Visa Signature® benefits, such as access to the Visa Signature Luxury Hotel Collection.

Earning points on the Bank of America Premium Rewards

With the Premium Rewards card, you’ll earn 2 points per dollar spent on travel and dining and 1.5 points per dollar on everything else. Travel and dining are defined broadly, meaning there are a lot of expenses that can qualify for double points.

Woman making a purchase at a store counter — MASKOT/GETTY IMAGES

The real value here is in the Preferred Rewards program. If you are a member of the Preferred Rewards program, you can earn 25-75% more points on every purchase, up to an impressive 2.625 points per dollar on nonbonus spending. That’s higher than any flat-rate card out there.

Redeeming points on the Bank of America Premium Rewards

Another thing to like about the Premium Rewards card is that it causes zero stress and consumes very little time. You don’t need to jump through hoops to find award availability, and you don’t have to go to a specific portal if you want to use your points to pay for your gym membership.

Since points are worth the same no matter what you redeem them for, you’re not penalized for redeeming them for cash back.

There are a few ways to redeem points:

Cash back: When your points balance is 2,500 points or more, you can receive cash back as a statement credit or deposit it into an eligible Bank of America checking or savings, Merrill or 529 college savings account. This is an impressive option that can be an excellent way to prepare for expensive tuition costs for yourself or someone in your family.
Travel purchases: You can book flights directly through the Bank of America travel portal. This is a good way to redeem points because you can still earn miles and make progress toward elite status by flying on a paid ticket (buying directly from the airline may be better, though, because you may get a lower fare class when booking through a portal).
Gift cards: A final option allows converting points into gift cards at popular merchants like Amazon, Whole Foods and Starbucks. We advise against this, since you won’t get great value from your points compared to using them for cash back or travel.

Woman traveling — GISELLEFLISSAK/GETTY IMAGES

Hearing that points are worth 1 cent each may initially seem disappointing, especially compared to what other points and miles are worth. However, the simplicity of not jumping through hoops or stressing about “maximum redemption value” can be a strong point here.

Which cards compete with the Bank of America Premium Rewards?

The best cards to compare to the Premium Rewards card are cards with similar annual fees. Let’s take a look at a few:

If you like Chase: The Chase Sapphire Preferred® Card (see rates and fees) has a $95 annual fee. It offsets that fee with a complimentary DashPass membership (activate by Dec. 31, 2027) and a $50 statement credit for hotel stays booked through Chase Travel℠. This card earns bonus points on dining, online grocery orders, travel, streaming services and more. To learn more, read our full review of the Chase Sapphire Preferred.
If you like Citi: The Citi Strata Premier℠ Card (see rates and fees) also comes with a $95 annual fee, offset by a $100 discount on an eligible hotel stay of $500 or more each year when you book through CitiTravel.com. The Strata Premier earns bonus points on a huge range of purchases, including travel, dining, groceries, gas and electric vehicle charging stations. To learn more, read our full review of the Citi Strata Premier.
If you like American Express: The Blue Cash Preferred® Card from American Express has an introductory annual fee of $0 (then $95 per year; see rates and fees). The main benefit of this card is up to $84 in statement credits every calendar year (up to $7 each month) for an eligible Disney+ Bundle charge of $9.99 or more each month (enrollment is required; terms apply; subject to auto-renewal). This card earns bonus cash back at U.S. supermarkets, U.S. gas stations and on transit and select U.S. streaming subscriptions (some categories are subject to spending caps). Cash back is received in the form of Reward Dollars that can be redeemed as a statement credit or at Amazon.com checkout. To learn more, read our full review of the Amex Blue Cash Preferred.

For additional options, take a look at our picks for the best travel cards.

Is the Bank of America Premium Rewards worth it?

If transfer partners aren’t a big deal to you, we recommend considering the Bank of America Premium Rewards card. This is especially true if you’re a Preferred Rewards member and can get additional points for every dollar spent. If you want to get the most value out of your rewards or you’re a frequent traveler, another card would be a better option.

Bottom line

The Bank of America Premium Rewards card is worth considering if you want a mid-tier card with attractive benefits. While its lack of transfer partners will be a turn-off for many, it still offers good redemption options.

As always, consider it against other mid-tier cards to make sure it’s the right choice for you.

Apply here: Bank of America Premium Rewards

For rates and fees of the Amex Blue Cash Preferred, click here.