Bank of America Customized Cash Rewards Review (July 2026)
NC
nextcard teamPublished Jul 21, 2026
NC
nextcard teamPublished Jul 21, 2026
Bank of America Customized Cash Rewards Review (July 2026)
TLDR
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The Bank of America® Customized Cash Rewards credit card is one of the better no-annual-fee cards for people who can concentrate their spending in one category. New cardholders earn an incredible 6% cash back in a category they choose for the first year, then 3%, with the option to change that category once each calendar month.
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Bank of America Customized Cash Rewards Review (July 2026)
If you have BofA Rewards™, this card becomes one of the strongest options for relevant spending.
The Bank of America® Customized Cash Rewards credit card is less attractive as an all-purpose card. Its selected category and 2% grocery-store and wholesale-club categories share a $2,500 quarterly spending cap, and everything outside those categories earns 1%. The card works best when you give it a specific job—such as online shopping, travel or home improvement—rather than use it for every purchase.
TLDR
The Customized Cash Rewards card is best for someone who has significant spending in categories like online shopping or dining.
New cardholders earn 6% in their choice category for the first year, then 3%; the choice can be changed once per calendar month.
The card also comes with a $200 online cash rewards bonus (after meeting qualifying spend requirements).
BofA Rewards™ members can increase the card's regular earning rates by 10% to 75%, but the rewards bonus does not apply to the extra 3% first-year promotional rate.
The shared quarterly cap from the bonus categories and 1% return on other spending make an unlimited flat-rate card a better fit for some high spenders.
Bank of America Customized Cash Rewards card details
Feature
Current terms
Welcome offer
$200 online cash rewards bonus after at least $1,000 in purchases in the first 90 days
Annual fee
$0
First-year rewards
6% in one choice category; 2% at grocery stores and wholesale clubs; 1% on other purchases
Ongoing rewards
3% in one choice category; 2% at grocery stores and wholesale clubs; 1% on other purchases
Quarterly cap
The choice category, grocery store, and wholesale club purchases share a $2,500 spending cap each quarter; purchases in those categories earn 1% after the cap is reached
Choice categories
Gas and EV charging; online shopping, including cable, internet, phone plans and streaming; dining; travel; drug stores and pharmacies; home improvement and furnishings
Intro purchase APR
0% for the first 15 billing cycles, followed by a 17.49%–27.49% variable APR
Foreign transaction fee
3%
Reward expiration
Cash rewards do not expire while the account remains open
Maximizing your cashback from your choice category
You’ll earn 3% cashback on purchases in your choice category. Bank of America® lets you change the selection once each calendar month through Online Banking or the mobile app. If you do nothing, the category remains the same; gas and EV charging is the default.
Choice category options:
Gas and EV charging,
Online shopping,
Dining,
Travel,
Drug stores and pharmacies,
Home improvement and furnishings.
The online-shopping category is likely to be the easiest & best for many households to use. Bank of America broadly defines it as “purchases made online via a website or a digital application (an app).” For instance, Amazon, Comcast, Etsy, Netflix, and Nordstrom are sample eligible merchants. Several merchant types like utilities, insurance, taxes, schools and medical providers are excluded.
For context, a no annual fee card offering 3% cashback on online shopping is extremely competitive and is only rivaled by the likes of the Blue Cash Everyday® Card from American Express.
The other categories can be interesting, but a lot of other cards offer similar earn rates or other ancillary benefits that outweigh the cashback. For instance, the Chase Sapphire Preferred® Card might only earn 2x points on general travel purchases, but it comes with strong travel protections that I’d take over an additional 1% in cashback.
Since you can switch the category you’re earning 3% cashback in every month, it allows you to plan around larger purchases. You could select travel before booking a trip, then switch to home improvement the following month. The card does not automatically choose whichever category has the most spending, so it still requires some attention.
The shared $2,500 quarterly cap is the main limitation
The selected category does not have its own $2,500 allowance. It shares that cap with all 2% earning grocery-store and wholesale-club purchases.
For example, $1,000 at grocery stores and $1,500 in your selected category would use the entire quarterly allowance. Additional purchases in any of those bonus categories would only earn 1% for the remainder of the quarter. The card still earns unlimited cash back overall, but it does not earn at that elevated bonus rate.
The cap is manageable for someone using the card selectively. It is restrictive for a household that spends heavily at grocery stores and wholesale clubs before adding in choice category spend (like online shopping). Cardholders may need to track the cap or pair this card with a higher flat-rate card for purchases that would otherwise earn 1%.
The Customized Cash provides immense value for its first year
The headline 6% rate consists of the card's normal 3% choice-category rate plus an additional 3% first-year bonus. That makes the first year incredibly rewarding for a no-annual-fee card, provided your purchases fit one of the six eligible categories selected beforehand.
If you spend the $2,500 quarterly max in just your choice category, you would earn $150 per quarter, or $600 over four quarters, before any BofA Rewards™ bonus.
And don’t forget that the card also has a welcome bonus: $200 online cash rewards bonus after at least $1,000 in purchases in the first 90 days.
BofA Rewards™ makes this card even more valuable
BofA Rewards™ is essentially a Bank of America loyalty program that incentivizes users to have long term relationships with the bank. One of the key benefits is that higher tiers = higher cashback earning rates.
To enroll in BofA Rewards, you need an open qualifying Bank of America personal checking account. Your tier is then based on the combined average balance in qualifying Bank of America deposit accounts and Merrill investment accounts. Each tier boosts total cashback earnings.
The rates below are calculations based on the current tier bonuses. During the first year, the BofA Rewards bonus applies to the regular 3% portion of choice-category earnings, not the additional 3% first-year promotional bonus.
BofA Rewards tier
Eligibility and rewards bonus
Effective choice-category rate
Other rates
Member
Less than $30,000; no minimum balance; 10% bonus
6.3% in year one; 3.3% ongoing
2.2% grocery/wholesale; 1.1% elsewhere
Preferred Plus
$30,000 to less than $100,000; 25% bonus
6.75% in year one; 3.75% ongoing
2.5% grocery/wholesale; 1.25% elsewhere
Preferred Honors
$100,000 to less than $1 million; 50% bonus
7.5% in year one; 4.5% ongoing
3% grocery/wholesale; 1.5% elsewhere
Premier
$1 million or more; 75% bonus
8.25% in year one; 5.25% ongoing
3.5% grocery/wholesale; 1.75% elsewhere
The Premier calculation shows the ceiling: the normal 3% rate receives a 75% bonus and becomes 5.25%, then the unboosted 3% first-year bonus brings the temporary total to 8.25%. That is simply… absurd. No card can even come close to that earn rate.
The catch? The $2,500 quarterly limit in combined purchases between the choice category and grocery stores/wholesale clubs; any additional spend above the limit only earns 1% cashback.
Just to be clear: the program does not increase the welcome offer. That $200 cash bonus is staying the same.
Nonetheless, this relationship bonus is critical to maximizing the value of the card. A 4.5% or 5.25% selected-category rate on a no-annual-fee card is difficult to dismiss, even with the quarterly cap. Moving investments solely to improve a credit card return is a much larger decision; the best fit is someone who already banks or invests with Bank of America or Merrill.
Customized Cash Rewards vs. Unlimited Cash Rewards
The Bank of America® Unlimited Cash Rewards credit card is the more practical alternative for someone who wants one card for everything. It earns 2% on all purchases for the first year and 1.5% thereafter, with no category cap. Both cards currently offer a $200 online cash rewards bonus after $1,000 in purchases within 90 days and neither charges an annual fee.
However, if you’re able to play around with categories, the Customized Cash trumps the Unlimited Cash. Just note the quarterly limits that can be somewhat limiting as you spend more on the card.
That said, nothing beats the simplicity of the Unlimited Cash; earning at least 1.5% cashback on all purchases is awesome. Combining that with BofA Rewards can make that floor range anywhere between 1.65% – 2.625% on all purchases after the first year.
Cherry on Top: Up to $100 back with ongoing Paze promotion
Eligible Bank of America cardholders can also earn an additional $100 in statement credits from the ongoing Paze promotion. This is a highly valuable promotion that allows you to get added value from your card.
The offer: Spend $10, get $10 back as a statement credit—up to 10 times when you use Paze checkout, for a total potential $100 back.
Why this offer is so good is because you spend exactly $10 and earn $10 back... if you optimize it successfully, you can walk out with a lot of free stuff. The downside? Only a limited number of merchants are eligible. Here are some of our favorites:
Clover restaurants: Use Paze checkout at 27,000+ merchants that use Clover as their point of sale
Sephora: Buy cheaper items and use Paze checkout to earn $10 back on your purchases
This promotion expires on Sep 10, 2026, so adding a Customized Cash or Unlimited Cash qualifies you for another batch of these Paze credits.
Who should get the Customized Cash Rewards card?
The card is a good fit if you:
Have meaningful spending in one of the six choice categories, especially during the first year.
Can keep combined choice-category, grocery and wholesale-club spending near or below $2,500 per quarter.
Already qualify for BofA Rewards or can enroll through a qualifying Bank of America checking account.
Want a no-annual-fee card that can be kept for a targeted category over the long term.
You should probably skip it if you:
Want one simple cash-back rate across nearly every purchase.
Regularly exceed the shared quarterly cap and do not want to track when earnings fall to 1%.
Would put most spending outside the choice categories.
Need a card for purchases abroad, where the 3% foreign transaction fee would offset much or all of the cash back, depending on the category and year.
Bottom line
The Bank of America Customized Cash Rewards card is worth considering for its 6% first-year choice category, $200 welcome offer and lack of an annual fee. Long term, if you have BofA Rewards, this card becomes a powerhouse “category” card that you can stick for a specific set of purchases.
Frequently asked questions
How often can I change my Bank of America Customized Cash Rewards category?
You can change the choice category once each calendar month through Bank of America Online Banking or the mobile app. You can also leave it unchanged. Gas and EV charging is the default category until you select another option.
Does the $2,500 quarterly cap include groceries and wholesale club purchases?
Yes. Purchases in your selected category, at grocery stores and at wholesale clubs all count toward one shared $2,500 quarterly spending cap. Once you reach it, additional purchases in those categories earn 1% for the remainder of the quarter.
Does BofA Rewards increase the 6% first-year rate?
Partially. The BofA Rewards bonus applies to the card's regular 3% choice-category rate but not to the additional 3% first-year bonus. Calculated BofA Rewards first-year choice-category rates therefore range from 6.3% for Member-tier customers to 8.25% for Premier-tier customers.
Does Amazon count as online shopping for Bank of America Customized Cash Rewards?
Yes. Bank of America lists Amazon as an example of an eligible online-shopping merchant.
Purchases made through Amazon’s website or app should earn the choice-category rate, provided the transaction is coded as an online retail purchase. These purchases count toward the shared $2,500 quarterly bonus-category cap.
What happens to the Customized Cash Rewards 6% rate after the first year?
After the first year, the choice-category rate drops from 6% to 3%.
You’ll continue earning 2% at grocery stores and wholesale clubs and 1% on other purchases. The 3% and 2% categories share the same $2,500 quarterly spending cap.
