How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.The Bank of America® Customized Cash Rewards credit card is a good $0-annual-fee option for those who want to choose their own bonus categories, as well as those who want a good card for gas or restaurants. The card allows you to select from six of the following categories every month:
It’s also a good choice for frequent spenders at grocery stores and wholesale clubs, as you’ll earn a decent cash back rate on purchases in those categories: 3% cash back in the category of your choice. 2% cash back at grocery stores and wholesale clubs for the first $2,500 in combined choice category/grocery store/wholesale club quarterly purchases. 1% cash back on all other purchases.
However, this card isn’t for people who don’t spend a lot in the bonus categories, as you’ll earn a subpar rate on all other purchases. You’d be better off with a flat-rate card that earns you a consistently high rate on all purchases, like the Citi Double Cash® Card, or a rewards card that’s more aligned with your spending.
How it compares to other cash back cards:
First-year value: $513 versus $444 for the average cash back credit card
Ongoing value: $313 versus $292 for the average cash back credit card
Based on LendingTree’s value methodology
Want to see higher earning cash back cards? Check out our list of best cash back credit cards.
Change your bonus spending category every month
This card has a unique rewards rate: Earn 3% cash back in the category of your choice. 2% cash back at grocery stores and wholesale clubs for the first $2,500 in combined choice category/grocery store/wholesale club quarterly purchases. 1% cash back on all other purchases. This makes it a solid choice for a restaurant or gas credit card.
In addition, its flexibility is helpful if your spending habits change from month to month — or if you know you need to purchase things from those categories soon. Most credit cards don’t let you choose your top spending category, so this is also a good option for people who want more control over their earning categories to help them maximize their rewards.
Good sign-up bonus
The Bank of America® Customized Cash Rewards credit card offers a fairly easy-to-earn bonus for new cardmembers: Earn $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
This offer is on par with other cash back card sign-up bonuses, though the Bank of America® Customized Cash Rewards credit card does require a higher spending amount to qualify than others. So before you apply for this card, it helps to have a few big purchases lined up.
Additional cash back rewards
If you’re a Preferred Rewards member, this might be one of the highest-earning cash back cards available for you. Members have the opportunity to get 25% to 75% more cash back on every purchase as a Preferred Rewards member. That means you could earn 3.75% to 5.25% cash back on the category of your choice (for up to $2,500 in combined purchases per quarter) and 2.5% to 3.5% at grocery stores and wholesale clubs.
| Gold tier (25% boost) | Platinum tier (50% boost) | Platinum Honors, Diamond and Diamond Honors tiers (75% boost) | |
|---|---|---|---|
| 3% cash back in the category of your choice | 3.75% cash back | 4.5% cash back | 5.25% cash back |
| 2% cash back categories | 2.5% cash back | 3% cash back | 3.5% cash back |
| 1% cash back (everything else) | 1.25% cash back | 1.5% cash back | 1.75% cash back |
To be eligible, you must have an active, eligible Bank of America checking account and three-month combined average daily balance of $20,000 or more in qualifying Bank of America deposit accounts and/or Merrill investment accounts.
To qualify for each of the tiers, you’ll need the following amounts in a three-month combined average daily balance in your Bank of America or Merrill accounts:
Note that enrollment is required.
Generous 0% APR intro offers for purchases and balance transfers
This card is an excellent choice for financing a new purchase or transferring a large balance at 0% APR. It includes a very long intro APR for both balance transfers and new purchases — particularly for a card with cash back rewards.
You’ll get a 0% Intro APR for 15 billing cycles for any balance transfers made in the first 60 days, then a 19.24% - 29.24% Variable APR on balance transfers. Plus, you’ll get an equally long 0% Intro APR for 15 billing cycles for purchases — then a 19.24% - 29.24% Variable APR. These 0% intro APR periods can save you a tidy sum on interest charges.
This is a nice perk, since many cards don’t offer an introductory period at all. But if you’re looking for a card primarily for its 0% intro APR period, there are cards with longer periods of 18-to-21 months with zero interest. The Wells Fargo Reflect® Card and BankAmericard® credit card, for example, have longer intro APR periods — however, neither card offers rewards.
Bonus category spending limit
Unfortunately, there’s a $2,500 quarterly purchase limit on the card’s bonus categories — and this purchase limit applies to the 3% and 2% categories combined. This equates to a little over $600 per month in spending. To be fair, this is a higher cap than similar category cards like the Discover it® Cash Back, which limits you to $1,500 in purchases per quarter, and the Blue Cash Everyday® Card from American Express which limits you to $6,000 in annual purchases (around $500 per month) for its 6% category (redeemable for statement credits).
Further, you should keep in mind that, once you reach this cap, you’ll earn a low rate of 1% cash back on the remainder of your purchases for the quarter. Big spenders in this card’s categories may benefit from pairing it with another grocery credit card or gas credit card.
Low overall earning rate
The card’s rewards structure combines its 3% and 2% rewards categories and applies the same spending cap on them, making its overall earning rate quite low. This can be fine if you’re using this card to complement other cash back cards, but not if you want to use one card for all your spending.
If you prefer to use a single card to use for all your purchases, you should consider a flat-rate card like the Citi Double Cash® Card, which earns up to 2% cash back every purchase. The Capital One SavorOne Cash Rewards Credit Card could also be a great choice: It offers unlimited 3% cash back on dining and grocery purchases. By our estimates, these cards have much higher potential earnings than the Bank of America® Customized Cash Rewards credit card:
Estimated rewards earned per $1 spent*
Limited benefits
Some cards may offer benefits like travel or car rental insurance, but the Bank of America® Customized Cash Rewards credit card falls short in this regard. The only major benefits it offers include a $0 liability guarantee and your FICO Score, which are standard among cash back credit cards.
A cash back card that comes with more benefits is the Chase Freedom Unlimited®, which includes trip cancellation/interruption insurance, rental car insurance and travel.
| Credit Cards | Our Ratings | Annual Fee | Welcome Offer | Rewards Rate | |
|---|---|---|---|---|---|
Bank of America® Customized Cash Rewards credit card
 Apply Now
on Bank Of America's secure site |
$0 | $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening | 3% cash back in the category of your choice. 2% cash back at grocery stores and wholesale clubs for the first $2,500 in combined choice category/grocery store/wholesale club quarterly purchases. 1% cash back on all other purchases. |
Apply Now
on Bank Of America's secure site |
|
Blue Cash Everyday® Card from American Express
|
$0 | Earn a $200 statement credit after you spend $2,000 in purchases on your new Card within the first 6 months. | 3% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases, then 1%. 3% Cash Back on U.S. online retail purchases, on up to $6,000 per year, then 1%. 3% Cash Back at U.S. gas stations, on up to $6,000 per year in purchases, then 1%. 1% cash back on other purchases. Terms apply. | ||
Citi Double Cash® Card*
Learn More
on Citibank's secure site |
$0 | Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back. | Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24. |
Learn More
on Citibank's secure site |
|
Discover it® Cash Back
Apply Now
on Discover's secure site Rates & Fees |
$0 | Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300. | Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases—automatically. Redeem your rewards for cash at any time. |
Apply Now
on Discover's secure site Rates & Fees |
However, if you tend to purchase groceries at wholesale clubs, the Bank of America® Customized Cash Rewards credit card may be a better option, since it includes wholesale clubs in its 2% cash back category.
The Blue Cash Everyday® Card from American Express makes a better go-to spending card since its spending cap applies separately to several different categories per year and has a larger rewards potential. It has an annual spending cap of $18,000 per year across all bonus categories, while the Bank of America® Customized Cash Rewards credit card has a cap of $10,000 per year on bonus categories — including its lower 2% bonus categories.
If you want a single card to use on all your purchases, the Citi Double Cash® Card is a great choice, since it earns the same high rate on everything. However, it’s also a great card to pair with the Bank of America® Customized Cash Rewards credit card. You can use the Bank of America® Customized Cash Rewards credit card to earn 3% cash back each month on a category of your choice until you reach your max. Once you’ve reached your quarterly limit, you can use the Citi Double Cash® Card for the remainder of your purchases for the quarter. The Citi Double Cash® Card also has a $0 annual fee, so you won’t lose anything by owning both cards.
It has a slightly lower $1,500 quarterly purchase limit for its bonus categories — so if you max out the 5% category in a quarter, this amounts to $75 in bonus cash back. This equals the quarterly max that you can earn with the Bank of America® Customized Cash Rewards credit card‘s 3% category.
However, the Discover it® Cash Back has a much better welcome offer for new cardholders: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300. This may make it a better choice in the first year for higher spenders.
The Bank of America® Customized Cash Rewards credit card may be right for you if you want to choose your bonus categories, especially if you want to earn rewards at a high rate on gas stations, restaurants or online purchases. It’s also a great option for financing new purchases and balance transfers, thanks to its long intro APR.
But if you don’t want to deal with a more complicated rewards rate or worry about switching categories, then you may be better off with a cash back credit card that offers a flat-rate rate on all purchases.
Apply Now
