Bank of America® Customized Cash Rewards Credit Card Review 2026: Is It Worth It?

The Bank of America® Customized Cash Rewards credit card is a $0 annual fee cash back card built around one category you choose. New cardholders can earn 6% cash back in that category for the first 365 days, while grocery stores and wholesale clubs earn 2%. Both bonused rates share a $2,500 quarterly purchase cap.

The new BofA Rewards™ program can raise the ongoing 3% choice category rate as high as 5.25%, based on eligible Bank of America and Merrill balances. Its bonus applies only to the standard rewards. The separate 3% first-year promotional bonus remains unchanged.

If your selected-category spending stays below the cap, the card can out-earn a flat-rate card on those purchases. Once the cap is reached, the rate drops to 1% until the next quarter (excluding BofA Rewards bonuses).

Quick Take

You choose which of six spending categories earns the highest rate. Online Shopping covers many website and app purchases, while Travel includes more than flights and hotels. Home Improvement/Furnishings can also be useful when a renovation or large household purchase is coming up.

Once combined spending in the selected category, grocery stores, and wholesale clubs reaches $2,500 for the quarter, additional purchases in those categories earn only 1%. A household that spends heavily across those categories can reach the cap well before the quarter ends.

Merchant coding determines whether a purchase qualifies.

How the Cash Back Categories Work

You select one of six choice categories:

• Gas & EV Charging Stations
• Online Shopping
• Dining
• Travel
• Drug Stores
• Home Improvement/Furnishings

Gas & EV Charging Stations is the default. You can switch the category once per calendar month through Online Banking or the Bank of America mobile app. If you make no change, the current selection continues.

A category change applies to future purchases, so make the selection before a planned charge. It should follow spending you already expect to make; buying extra items to earn a few more dollars of cash back defeats the purpose.

Online Shopping has broad appeal, but the transaction must occur through a qualifying website or app. Phone, mail, and in-person purchases do not qualify. An online order paid for in a store also fails the online requirement, and tapping a mobile wallet at a physical register does not convert the purchase into an online transaction.

Online Shopping excludes certain merchant types, including doctors and hospitals, government services and taxes, insurance, membership organizations, schools, some utilities, and other non-retail services.

Travel can include airlines, cruises, hotels, travel agencies, amusement parks, transit, rideshare, taxis, tolls, parking, and rentals. Home Improvement/Furnishings can include hardware stores, furniture stores, building-material suppliers, nurseries, landscaping, and qualifying residential contractors.

Home Improvement/Furnishings excludes business-to-business merchants and wholesale distributors. Merchant coding and current category terms determine eligibility.

Merchant category codes determine whether a purchase earns a category bonus. A store can sell an eligible item and still process under a code that does not qualify. Third-party payment accounts, some digital wallets, and buy-now-pay-later services can also interfere with the merchant information sent to the issuer.

The $2,500 Quarterly Cap

The selected choice category and the 2% grocery store & wholesale club category share one $2,500 purchase cap each calendar quarter. The $2,500 limit applies once across all three types of spending.

Any additional purchase in either capped bucket earns 1% for the rest of that quarter. Other eligible purchases already earn 1%, and those purchases do not consume the $2,500 cap.

Across four quarters, you can put up to $10,000 of purchases through the capped categories before the lower rate applies. Your return depends on how much of that capacity goes to the higher-earning choice category versus grocery stores and wholesale clubs, whether your spending is evenly distributed by quarter, and your BofA Rewards tier.

A large home project could use most of a quarter’s capacity at once. A household spending well over the quarterly cap across groceries and its selected category may earn more with an uncapped card despite its lower advertised rate.

How the New BofA Rewards Tiers Change the Math

To enroll in BofA Rewards, you need an eligible Bank of America personal checking account. Your tier generally depends on your three-month average combined balance across qualifying Bank of America and Merrill accounts.

The same BofA Rewards bonuses raise the 2% grocery store and wholesale club rate to 2.2% for Member, 2.5% for Preferred Plus, 3% for Preferred Honors, or 3.5% for Premier. The standard 1% rate becomes 1.1%, 1.25%, 1.5%, or 1.75%, respectively.

BofA Rewards increases the standard 3% category rate. The separate 3% first-year choice category bonus remains unchanged. The two components combine for the advertised 6% rate before any eligible BofA Rewards bonus.

Do not apply the BofA Rewards multiplier to the full first-year rate. Apply the relationship bonus to the standard 3% category rate, then add the separate 3% first-year bonus. The tier table above shows the resulting rates.

Customers enrolled in the predecessor Preferred Rewards program before May 26, 2026 may have an extended card benefit during the transition. Sign in to view account-specific details before estimating future rewards.

Redeeming Cash Rewards

Redemption options include:

• A statement credit
• A deposit into an eligible Bank of America checking or savings account
• A credit to a qualifying Merrill Cash Management Account
• A qualifying Merrill 529 contribution
• A check
• Eligible Amazon or PayPal Pay with Rewards purchases

There is no minimum for a one-time statement credit, an eligible Bank of America deposit, a qualifying Merrill Cash Management Account credit, or Pay with Rewards. Checks, 529 contributions, and automatic redemptions generally require at least $25.

Cash rewards do not expire while the account remains open with active charging privileges. Account closure and forfeiture rules still apply.

Statement credits and eligible deposits provide straightforward cash value without requiring a purchase through Amazon or PayPal. Compare the redemption value before using rewards at checkout.

Other Bank of America Cardholder Benefits

Beyond cash back, eligible cardholders may have access to the benefits below. Several are available across qualifying Bank of America relationships, including other cards. Availability and terms can change.

Museums on Us

Bank of America’s Museums on Us® program gives eligible Bank of America, Merrill, and Bank of America Private Bank credit and debit cardholders one free general admission during the first full weekend of every month.

You must present an active eligible card and a matching government-issued photo ID. The benefit covers one general admission for the individual cardholder. Spouses, children, and other guests need separate admission. Special exhibitions, ticketed events, enhanced experiences, and fundraising events are excluded, and admission is not guaranteed when a venue reaches capacity.

Confirm the venue on the current list of participating museums and cultural institutions before visiting. The roster and venue-specific procedures can change.

BankAmeriDeals

BankAmeriDeals® provides limited-time cash-back offers at participating merchants. You must enroll in Online Banking or Mobile Banking, activate an offer, and pay with the eligible card tied to that offer.

The deal cash back stacks with the card’s normal rewards. For example, an activated dining offer can add merchant-specific cash back on top of the card’s category earnings. Offers differ by account and expire, so only count them when a useful merchant appears in your account.

My Credit and Identity Monitoring

My Credit is available free to eligible Bank of America clients through Mobile and Online Banking. It includes a FICO® Score 8, credit report access, score history, personalized insights, and alerts for score changes or suspicious credit profile activity. Checking the tool does not affect your score.

BofA Rewards members enrolled in My Credit can also receive enhanced fraud and identity monitoring, including dark web monitoring, Social Security number monitoring, and identity restoration assistance. Eligibility requires an eligible Bank of America consumer account and enrollment; the score shown may differ from the score a lender uses.

Refer-a-Friend

Eligible Bank of America® Customized Cash Rewards Credit Card holders can access a personal referral link through Online Banking or the mobile app. Availability and referral terms can vary by account.

Who Should Consider or Skip the Card?

Consider it if you:

• Already have or are willing to open an eligible Bank of America personal checking account
• Hold enough qualifying Bank of America or Merrill assets to reach a higher BofA Rewards tier
• Can keep combined spending in the selected choice category and at grocery stores and wholesale clubs within the shared $2,500 quarterly cap
• Spend heavily online or have planned travel or home-improvement purchases
• Prefer cash back to transferable travel points
• Are comfortable checking category selection and quarterly spending

Preferred Honors members earn 4.5% in the selected category after the first year, while Premier members earn 5.25%, subject to the shared quarterly cap.

Skip it if you:

• Regularly exceed $2,500 per quarter across choice category and grocery/wholesale-club spending
• Want one flat, uncapped rate without changing categories
• Need a card for frequent international purchases
• Want extensive travel or purchase protections
• Do not use any of the six choice categories enough to track them

The 3% foreign transaction fee makes the card a poor choice abroad and can erase the rewards earned on an international purchase. 

You may also need to change the category before a trip, home project, or other period of concentrated spending. If you do not want to monitor the selection or quarterly cap, an uncapped flat-rate cash-back card may be easier to manage. Check out other cash back card options here.

Verdict

The Bank of America® Customized Cash Rewards Credit Card is strongest for Bank of America and Merrill customers who qualify for a higher rewards tier. Without that relationship bonus, compare the ongoing 3% capped rate with an uncapped cash-back card before applying.

The first-year 6% rate improves the initial return. Long-term value depends on the BofA Rewards tier you can maintain and how much eligible spending fits below the shared quarterly cap.

Check the Bank of America 2/3/4 Rule Before Applying

• Two Bank of America cards within a rolling two-month period
• Three Bank of America cards within a rolling 12-month period
• Four Bank of America cards within a rolling 24-month period

Frequently Asked Questions

How often can I change the choice category?

You can change it once per calendar month through Online Banking or the Bank of America mobile app. Your current category stays in place if you do nothing.

Does BofA Rewards multiply the full 6% first-year rate?

No. Apply the relationship bonus only to the standard 3% category rate, then add the separate 3% first-year promotional rate. The tier table above shows the resulting first-year rates.

Is the $2,500 cap separate for groceries and the choice category?

No. Choice category, grocery store, and wholesale club purchases share one $2,500 cap per calendar quarter. After you reach it, additional purchases in those categories earn 1% until the next quarter.

Does the card charge a foreign transaction fee?

Yes. The fee is 3% of the U.S. dollar amount of each foreign-currency transaction.

Can I redeem cash back with no minimum?

One-time statement credits, eligible Bank of America deposits, qualifying Merrill Cash Management Account credits, and eligible Pay with Rewards redemptions have no minimum. Checks, qualifying Merrill 529 contributions, and automatic redemptions generally start at $25.

Does the card include free museum admission?

Yes. Museums on Us provides one free general admission to the individual eligible cardholder at participating institutions during the first full weekend of every month. Bring the card and a matching government-issued photo ID. Guest admission, special exhibitions, and ticketed experiences are not included. Check the current list of participating museums before visiting.