Key Points:

• Bank of America replaced Preferred Rewards with BofA Rewards in May 2026, eliminating the previous $20,000 minimum balance requirement and opening membership to anyone with a personal checking account.
• Members can earn 10-75% bonus rewards on eligible credit cards, access cash back deals, receive subscription credits at higher tiers, and unlock banking fee waivers worth $150 to $4,000 annually depending on tier and engagement.
• The four-tier structure (Member, Preferred Plus, Preferred Honors, Premier) bases benefits on your three-month average combined balance across Bank of America and Merrill accounts, with automatic upgrades as balances grow.

If you've got money sitting at Bank of America, you're potentially leaving hundreds or even thousands of dollars on the table every year. The bank's loyalty program just got a massive overhaul in May 2026, and the changes are actually good news for most customers.

BofA Rewards replaced the old Preferred Rewards program on May 27, making benefits accessible to over 30 million customers who previously didn't qualify. The biggest change? You no longer need $20,000 to participate. Anyone with a Bank of America personal checking account can now join and start earning rewards immediately.

If you're comparing loyalty programs across different banks, check out our guide to the best cash back credit cards to see how Bank of America stacks up against other issuers.

Here's everything you need to know about maximizing Bank of America's rewards ecosystem in 2026.

What Is BofA Rewards?

BofA Rewards is Bank of America's loyalty program that gives you better rewards, lower fees, and exclusive perks based on how much money you keep with the bank. The program offers benefits ranging from $150 to $4,000 in annual value depending on your membership tier and how actively you use the available perks.

Think of it as Bank of America's way of rewarding relationship banking. The more accounts you have and the higher your combined balance, the better your rewards get. But unlike the old Preferred Rewards program, you don't need a massive account balance to get started.

The program is completely free to join with no ongoing fees. Your tier is automatically calculated monthly based on your three-month average combined balance across eligible Bank of America deposit accounts and Merrill investment accounts.

The Four BofA Rewards Tiers Explained

BofA Rewards features four membership tiers, each offering progressively better benefits as your account balances increase. Here's how they break down:

Member Tier (No Minimum Balance)

This is the entry level tier available to anyone with a Bank of America personal checking account. You'll get basic benefits including:

• 10% credit card rewards bonus on eligible Bank of America cards
• Access to cash back deals from popular brands
• Fraud and identity monitoring through Bank of America's credit score service
• Standard banking benefits

The Member tier is perfect if you're just starting your relationship with Bank of America or keeping lower balances. Even at this level, that 10% rewards boost can add meaningful value. If you're earning $500 in credit card rewards annually, that's an extra $50 just for being a member.

Preferred Plus Tier ($20,000-$49,999)

Once your three-month average combined balance hits $20,000, you'll automatically upgrade to Preferred Plus. This tier includes everything from Member, plus:

• 25% credit card rewards bonus (up from 10%)
• Waived monthly maintenance fees on eligible checking and savings accounts
• Home loan discounts and rate reductions
• Enhanced cash back deals

The fee waivers alone can save you $144 annually if you're paying $12 monthly maintenance fees on checking and savings accounts. Add the improved credit card bonus, and this tier starts delivering serious value.

Preferred Honors Tier ($50,000-$99,999)

The Preferred Honors tier introduces lifestyle benefits including subscription credits and curated experiences across travel, automotive, food and wine, and arts and entertainment categories. Benefits include:

• 50% credit card rewards bonus
• Subscription credits for popular services (exact credits vary by subscription)
• Priority member services
• Enhanced interest rate discounts on loans and HELOCs
• Access to premium experiences and exclusive partner offers

The subscription credits are new to the BofA Rewards program and can offset monthly costs for streaming services, gym memberships, or other recurring subscriptions. The exact value depends on which subscriptions you use, but this alone could be worth $100-200 annually.

Premier Tier ($100,000+)

This is the top tier, previously called Diamond Honors under Preferred Rewards. Premier members receive the highest credit card rewards bonus of 75% along with premium benefits and experiences. Benefits include:

• 75% credit card rewards bonus
• Maximum subscription credits
• Premium concierge services
• Highest interest rate discounts on all loan products
• Exclusive experiences with partners like Regent Seven Seas Cruises, Mercedes, and Blacklane
• Access to Broadway shows and tier-exclusive automotive offers from brands like BMW, Lexus, Audi, and Volvo

At this tier, you're looking at potentially thousands in annual value between the massive credit card boost, loan savings, and lifestyle perks.

How the Credit Card Rewards Bonus Actually Works

This is where BofA Rewards gets really interesting for points enthusiasts. The rewards bonus applies as a multiplier on top of whatever your Bank of America credit card normally earns.

Let's break down the math with a real example using the Bank of America Customized Cash Rewards card:

Without BofA Rewards:

• 3% back in your choice category (up to $2,500 in quarterly spending)
• 2% at grocery stores and wholesale clubs (up to $2,500 in quarterly spending)
• 1% on everything else

With Preferred Plus (25% bonus):

• 3.75% in choice category
• 2.5% at groceries/wholesale
• 1.25% on everything else

With Premier (75% bonus):

• 5.25% in choice category
• 3.5% at groceries/wholesale
• 1.75% on everything else

That Premier tier essentially gives you a 5.25% cash back card in your chosen category, which beats almost every no-annual-fee card on the market. Even the 3.5% at grocery stores is exceptional.

The bonus applies to these eligible Bank of America cards:

• Bank of America Customized Cash Rewards
• Bank of America Unlimited Cash Rewards
• Bank of America Premium Rewards
• Bank of America Travel Rewards

Important: The bonus is calculated on the base rewards you earn, not on your spending. So if you earn 1,000 base points and you're in the Preferred Plus tier with a 25% bonus, you'll receive an additional 250 points for 1,250 total points.

Eligible Accounts That Count Toward Your Balance

Your tier is based on your three-month average combined balance, but not every Bank of America account qualifies. Here's what counts:

Bank of America Deposit Accounts:

• Personal checking accounts
• Personal savings accounts
• CDs (Certificates of Deposit)
• IRAs held at Bank of America
• Money market accounts

Merrill Investment Accounts:

• Brokerage accounts
• Managed investment accounts
• Merrill Guided Investing accounts
• IRAs held at Merrill

Business accounts don't count toward your personal BofA Rewards tier calculation. Bank of America has a separate Preferred Rewards for Business program.

The three-month average is calculated by looking at your daily balance over the past three months and averaging it. This smooths out the impact of temporary fluctuations. You can't just deposit $50,000 for one day and expect to jump to Preferred Honors.

How Tier Changes Work

Bank of America reviews your balances monthly and automatically upgrades you when you qualify for a higher tier. For upgrades, new benefits typically take up to 30 days to activate.

If you're enrolling in BofA Rewards for the first time, your balances are reviewed daily during the first 30 days. This means new members can potentially reach higher tiers faster in their first month.

What happens if your balance drops? You'll retain your current tier until your next anniversary date, giving you a full 12 months of benefits even if you temporarily fall below the threshold. This grace period is crucial if you need to use funds for a major purchase or emergency.

The anniversary date is set when you first qualify for a tier above Member. So if you hit Preferred Plus for the first time in June 2026, your anniversary is June 2027. As long as you maintain qualifying balances before that anniversary, you keep moving up. If you don't, you drop back down but only once per year.

Beyond Credit Cards: Additional BofA Rewards Benefits

The credit card bonus gets most of the attention, but BofA Rewards includes several other valuable perks:

Banking Fee Waivers

All tiers receive waived fees on:

• Standard check orders
• Cashier's checks
• Stop payment requests
• Incoming domestic wire transfers
• ATM/debit card rush delivery

Preferred Plus and above also get:

• Waived monthly maintenance fees on up to four checking and four savings accounts
• No-fee ATM withdrawals at non-Bank of America ATMs (varies by tier)

The monthly fee waivers are worth $12-$25 per account per month, adding up to potentially $288-$600 annually if you're maximizing accounts.

Interest Rate Discounts

If you're financing a car or home, the rate discounts can save thousands:

Auto Loans:

• Preferred Plus: 0.25% rate reduction
• Preferred Honors: 0.50% rate reduction
• Premier: 0.50% rate reduction

Home Equity Lines of Credit:

• Preferred Plus: 0.125% rate reduction
• Preferred Honors: 0.375% rate reduction
• Premier: 0.625% rate reduction

Mortgages:

• Preferred Plus: $200 origination fee reduction
• Preferred Honors: 0.125% rate reduction (requires PayPlan enrollment)
• Premier: 0.375% rate reduction (requires PayPlan enrollment)

On a $400,000 mortgage, a 0.375% rate reduction saves about $560 annually in interest during the first year, and the savings continue throughout the loan term.

Enhanced Savings Rates

BofA Rewards members get boosted interest rates on Bank of America Advantage Savings accounts. The exact boost varies by tier, but even a 5% rate increase can add meaningful value when rates are favorable.

Merrill Guided Investing Discounts

If you use Merrill's advisory service, you'll save on the annual program fee:

• Member: Standard 0.45% fee
• Preferred Plus: 0.40% (0.05% discount)
• Preferred Honors: 0.35% (0.10% discount)
• Premier: 0.30% (0.15% discount)

On a $100,000 investment account, the Premier discount saves $150 annually.

Lifestyle Benefits and Subscription Credits

Preferred Honors and Premier members receive curated offers and premium experiences including automotive savings, access to Broadway shows, and tier-exclusive offers from luxury travel and automotive partners.

The subscription credits (available at Preferred Honors and Premier) can offset costs for services like:

• Streaming platforms
• Fitness memberships
• Meal kit services
• Digital subscriptions

The exact credits and eligible subscriptions are determined by Bank of America and may change, but this benefit adds genuine everyday value for members who use these services anyway.

How to Maximize BofA Rewards Value

Want to squeeze every dollar out of this program? Here's how:

1. Consolidate Accounts Strategically

You don't need to move all your money to Bank of America, but strategic consolidation can push you into a higher tier. Consider:

• Moving your emergency fund to a Bank of America savings account
• Rolling over an old 401(k) to a Merrill IRA
• Transferring brokerage assets from another firm
• Using Bank of America as your primary checking account

Just make sure you're not sacrificing better interest rates or investment options elsewhere. Compare what you're earning at your current institutions against the value you'd gain from a higher BofA Rewards tier.

2. Use Multiple Bank of America Credit Cards

The rewards bonus applies across all your eligible Bank of America cards. Smart strategy:

• Bank of America Customized Cash Rewards for your chosen category (gas, dining, travel, etc.)
• Bank of America Unlimited Cash Rewards for everything else
• Bank of America Premium Rewards if you travel frequently and want travel perks

If you're in the Premier tier earning a 75% bonus, you're getting 1.75% back on literally everything with the Unlimited Cash Rewards card. That's better than most rewards cards period.

Not sure which Bank of America card fits your spending? Our best Bank of America credit cards guide breaks down all the options.

3. Time Major Purchases Around Your Tier

If you're close to reaching the next tier threshold, consider the timing of major expenses or account deposits. Hitting Preferred Honors before a big travel year could save hundreds in credit card rewards alone.

Just don't keep excess funds at Bank of America earning minimal interest if you could be earning more elsewhere. Run the numbers on what the tier upgrade is actually worth to you.

4. Stack with Credit Card Sign-Up Bonuses

Bank of America's credit card welcome offers stack on top of BofA Rewards bonuses. So if you sign up for a card offering a $200 bonus after $1,000 in spending, you'll earn that bonus plus your ongoing rewards at the boosted rate.

Check our best credit card bonuses right now to see current Bank of America offers alongside other competitive sign-up bonuses.

5. Activate Cash Back Deals

Don't sleep on the cash back deals available through BofA Rewards. These are offers from specific retailers that give you statement credits when you shop. They change regularly, so check the offers in your mobile app before making purchases.

The deals might include things like "Get $10 back when you spend $50 at [Retailer]." Combined with your credit card rewards, you're stacking savings.

6. Use the Benefits You're Paying For (With Balance)

If you're maintaining a six-figure balance to stay in Premier tier, make sure you're actually using the premium benefits. Take advantage of the subscription credits, use the concierge service, and explore the exclusive experiences.

That said, don't keep $100,000 earning 0.5% at Bank of America just to get a 75% credit card bonus if you could be earning 4-5% in a high-yield savings account elsewhere. Do the math on your specific situation.

Transition from Preferred Rewards to BofA Rewards

Current Preferred Rewards members were automatically enrolled in BofA Rewards on May 27, 2026, with Gold and Platinum tier members moving to Preferred Plus, Platinum Honors moving to Preferred Honors, and Diamond Honors moving to Premier.

If your benefits changed during the transition, Bank of America guaranteed you'd keep your previous Preferred Rewards benefits for six months after May 27, giving you time to adjust.

For most members, this transition was neutral or positive. The tier thresholds stayed the same for Preferred Plus and above, and the addition of the Member tier opened up basic benefits to millions more customers.

Common BofA Rewards Questions

Can I combine BofA Rewards with other bank programs?

BofA Rewards is specific to Bank of America, but you can absolutely maintain accounts and loyalty programs at other banks simultaneously. Many people use BofA Rewards alongside Chase's relationship banking benefits, for example.

Do I need to enroll or is it automatic?

If you have a Bank of America personal checking account, you're automatically enrolled at the Member tier. To move up, you just need to increase your qualifying balances. The bank reviews your balances monthly and upgrades you automatically.

How quickly do tier upgrades take effect?

For most members, tier upgrades take up to 30 days to activate once you qualify. First-time enrollees get daily balance reviews for the first 30 days and can be upgraded faster.

What if I close my checking account?

Your BofA Rewards membership requires an active Bank of America personal checking account. If you close all your checking accounts, you'll lose your membership and all associated benefits.

Can business accounts count toward my balance?

No. Personal BofA Rewards tiers are calculated based on personal deposit and investment accounts only. Bank of America has a separate Preferred Rewards for Business program.

Are the rewards taxable?

Credit card rewards are generally not considered taxable income when earned from spending. However, bank bonuses for opening new accounts may be taxable. Consult a tax professional for your specific situation.

Is BofA Rewards Worth It?

For most Bank of America customers, BofA Rewards is absolutely worth it because there's no cost to participate. You're getting free benefits just for keeping money at a bank you're already using.

The real question is whether it's worth consolidating accounts at Bank of America specifically to reach higher tiers. That depends entirely on your situation:

BofA Rewards makes sense if:

• You already bank with Bank of America and have qualifying balances
• You use Bank of America credit cards regularly for spending
• You can reach Preferred Plus or higher without sacrificing better interest rates elsewhere
• You'll actually use the benefits like loan discounts, subscription credits, or lifestyle perks
• You value the convenience of having accounts at one institution

Look elsewhere if:

• You can earn significantly higher interest rates on savings at another bank
• You prefer credit cards with better base rewards rates (see our best Chase credit cards or best American Express credit cards guides)
• You don't have enough in liquid savings/investments to reach Preferred Plus
• You'd be maintaining low-interest balances just to hit tier thresholds

The sweet spot is when you're already keeping $20,000+ in liquid savings or investments and can move those funds to Bank of America without sacrificing returns. At Preferred Plus and above, the combination of credit card bonuses and fee waivers creates genuine value.

The Bottom Line

BofA Rewards transformed from an exclusive program for wealthy customers into something much more accessible in 2026. With over 30 million newly eligible customers, Bank of America is clearly trying to compete with other major banks' loyalty programs.

The credit card rewards bonus is the headline benefit, but the real value comes from stacking multiple benefits: fee waivers, loan discounts, enhanced savings rates, and now subscription credits and lifestyle perks at higher tiers. For customers already committed to Bank of America, these benefits can add up to thousands in annual value.

Just don't fall into the trap of keeping large balances at Bank of America earning minimal interest solely to qualify for tiers. The rewards need to outweigh what you'd earn keeping that money in high-yield savings accounts or invested elsewhere. Run the numbers for your specific situation, and be honest about which benefits you'll actually use.

If you're already a Bank of America customer with a checking account, you're in the program whether you actively think about it or not. Take 15 minutes to review which tier you're in, which credit cards you're using, and whether consolidating more accounts could push you into the next level. That quarter-hour might be worth a few hundred dollars this year.

Want to compare Bank of America's offerings with other card issuers? Check out our comprehensive guides to the best cash back credit cards and best category bonus credit cards to see how they stack up.

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