The Bank of America Customized Cash Rewards card stands out in a crowded field of no-annual-fee cash back cards because it lets you choose your highest cash back category. Here is how it works and whether it belongs in your wallet.
Bank of America Customized Cash Rewards: Quick Summary
- Annual fee: $0
- Cash back on chosen category: 3% (you pick: online shopping, dining, drug stores, home improvement/furnishings, gas, or travel)
- Cash back at grocery stores and wholesale clubs: 2%
- Cash back on all other purchases: 1%
- Quarterly spend cap: 3% and 2% rates apply on the first $2,500 per quarter combined (then 1%)
- Welcome offer: $200 online cash rewards bonus after making at least $1,000 in purchases in the first 90 days
- Intro APR: 0% for 15 billing cycles on purchases and qualifying balance transfers
- Regular APR: Variable
The Standout Feature: You Choose the 3% Category
Most cash back cards lock you into fixed categories. The BofA Customized Cash Rewards lets you pick from six categories and change your choice once per calendar month:
- Online shopping
- Dining
- Drug stores
- Home improvement and furnishings
- Gas and EV charging stations
- Travel
If you are moving in January, switch to home improvement. If you are taking a trip in March, switch to travel. If online shopping is your default, leave it there year-round.
The Spend Cap to Know
The 3% and 2% rates apply to the first $2,500 in combined purchases (chosen category + grocery/wholesale) per quarter. After that, everything earns 1%.
$2,500 per quarter = $10,000 per year. For most people, this cap is not a problem. If you regularly spend more than that in the bonus categories, look at cards with higher or uncapped earn rates.
Preferred Rewards Boost
If you have a Bank of America or Merrill investment or banking account, you may qualify for the Preferred Rewards program. This can boost your cash back rate by 25%, 50%, or 75% depending on your combined balance tiers.
A 75% bonus brings the chosen category up to 5.25% and groceries/wholesale up to 3.5%. For BofA banking customers, this is one of the better cash back returns available on a no-fee card.
Welcome Bonus Value
$200 after $1,000 in purchases in 90 days is a 20% return on the first $1,000. That is a strong welcome offer for a no-annual-fee card and requires a modest spend threshold.
0% Intro APR
The 15-billing-cycle 0% intro APR on purchases is useful if you have a large planned purchase. After the intro period, the variable rate applies, so pay down any balance before it expires.
Redemption Options
Cash back can be redeemed as:
- A statement credit
- A deposit into a Bank of America checking or savings account
- A contribution to an eligible Merrill account
No minimum redemption for statement credits. The Merrill deposit option is useful for investors who bank with BofA.
Who This Card Is Best For
- People who want flexibility to rotate which spending category earns the most
- Existing Bank of America or Merrill customers who can unlock Preferred Rewards boosts
- Anyone who spends heavily on online shopping — the 3% rate on online purchases is competitive with dedicated online shopping cards
- Households that spend significantly on groceries (the 2% rate is solid at this tier)
Who Should Look Elsewhere
- If you want a simple flat-rate card with no category management, the Citi Double Cash (2% on everything) is easier to use
- If you spend more than $10,000/year on bonus categories, a card with uncapped higher rates may serve you better
- If you are not a BofA customer, the Preferred Rewards boost is less accessible
How It Compares
vs. Citi Double Cash: Double Cash gives 2% on everything with no caps. Simpler to use. Customized Cash Rewards wins if you can optimize your chosen category consistently.
vs. Chase Freedom Flex: Freedom Flex offers 5% on rotating categories (up to $1,500/quarter) plus fixed 3% on dining and drugstores. Better for dining-heavy spenders.
vs. Discover it Cash Back: Discover also offers rotating 5% categories. Customized Cash Rewards wins for non-rotating predictability.
Bottom Line
The Bank of America Customized Cash Rewards card is a flexible, no-annual-fee cash back card with a strong welcome offer and a useful category-choice feature. It is especially valuable for BofA or Merrill customers who can unlock the Preferred Rewards multiplier. For everyone else, it is a solid everyday card that rewards you for picking the category that matters most to your spending pattern.