The Bank of America® Business Advantage Customized Cash Rewards Mastercard® is a straightforward cash-back card designed for small businesses. It stands out by letting owners choose where they earn the highest rewards, making it highly adaptable to changing spending habits. This card doesn’t offer flashy perks, but its simplicity and potential for significant cash back – especially for Bank of America Preferred Rewards members – make it a strong contender.
Core Benefits and Structure
This card has no annual fee, and applicants with a credit score of 740 or higher have the best chance of approval. New cardholders can earn a $500 cash bonus by spending $5,000 in the first 90 days. It also includes a 0% introductory APR on purchases for the first seven billing cycles, followed by a variable APR between 16.74% and 26.74%.
The card’s main draw is its customizable rewards:
- 3% back on a business category of your choice (gas, office supplies, travel, telecom, computer services, or business consulting). This category can be changed monthly.
- 2% back on dining.
- 1% on all other purchases.
Spending is capped at 3% and 2% for the first $50,000 in combined purchases, after which all purchases earn 1%.
The Power of Bank of America Preferred Rewards
The card’s true value emerges when paired with Bank of America’s Preferred Rewards program. This program tiers rewards based on combined balances across eligible Bank of America business accounts.
- Gold Tier: 25% bonus on cash rewards.
- Platinum Tier: 50% bonus on cash rewards.
- Diamond Honors Tier: 75% bonus on cash rewards.
This means Diamond Honors members could earn up to $2,625 in cash back per year with high spending, making it one of the most lucrative no-annual-fee business cards available.
Redeeming Rewards
Redeeming cash back is simple: deposit into a Bank of America account, apply as a statement credit, or request a check. The value is fixed at 1 cent per point, ensuring no hidden devaluations. While straightforward, this lack of flexibility may not appeal to points and miles enthusiasts.
Alternatives to Consider
For businesses not in the Preferred Rewards program, other options may be more suitable:
- Ink Business Cash® Credit Card: Offers 5% cash back on office supplies, internet, and cable, with a $25,000 spending cap.
- Ink Business Preferred® Credit Card: Earns 3 points per dollar on travel, shipping, and advertising (up to $150,000 in spending).
- Capital One Spark Miles for Business: Offers at least 2 miles per dollar on all purchases, with a $95 annual fee after the first year.
Is This Card Right for Your Business?
The Bank of America Business Advantage Customized Cash Rewards excels for existing Preferred Rewards customers. Its flexible rewards structure and high cash-back potential make it a compelling option. However, businesses outside this ecosystem or those with consistent spending patterns might find alternatives more rewarding.
Bottom line: This card delivers substantial value for the right business owner, offering thousands in annual rewards without the burden of an annual fee.
