If you’re looking for a travel credit card with premium perks but don’t want to pay a $500+ annual fee, the Bank of America Premium Rewards Credit Card is worth a closer look. With a $95 annual fee, generous travel protections, a valuable airline credit, and the ability to earn even more through the Bank of America Preferred Rewards program, it can deliver excellent value for the right cardholder.
However, it’s far from the perfect card for everyone. Whether this card is worth paying for depends almost entirely on how often you travel and whether you qualify for Bank of America’s loyalty bonuses.
Here’s everything you need to know before applying.
Welcome Bonus
New cardholders can earn a welcome bonus of 60,000 online bonus points after spending $4,000 within the first 90 days of account opening.
Since Bank of America points are generally worth 1 cent each, the bonus is worth $600.
You can redeem your points for:
- Cash back
- Statement credits
- Travel purchases
- Deposits into eligible Bank of America checking or savings accounts
- Deposits into eligible Merrill investment accounts
While the $4,000 spending requirement is higher than many of Bank of America’s cashback cards, the reward is significantly larger. If you have a major purchase, vacation, or home expense coming up, timing your application can make earning the bonus much easier.
Points typically appear within about 60 days after meeting the spending requirement.
How the Rewards Structure Works
The Bank of America Premium Rewards card keeps its earning structure simple.
You earn:
- 2 points per dollar on travel and dining
- 1.5 points per dollar on all other purchases
Eligible travel and dining purchases include:
- Flights
- Hotels
- Vacation rentals
- Restaurants
- Takeout
- Food delivery services
- Other travel-related purchases
Unlike rotating-category cards, there are:
- No quarterly activation requirements
- No spending caps
- No category limits
Every point is worth approximately 1 cent when redeemed through Bank of America.
As long as your account remains open, your points do not expire.
No Foreign Transaction Fees
One of the major advantages over several Bank of America’s cashback cards is that the Premium Rewards card charges no foreign transaction fees.
Many cashback cards charge around 3% on purchases made outside the United States. Those fees can quickly erase your rewards while traveling internationally.
If you travel abroad even occasionally, avoiding these fees can save a meaningful amount of money.
Premium Travel Benefits
The annual fee is primarily justified by the travel benefits included with the card.
Up to $100 Airline Incidental Credit
Each calendar year, cardholders receive up to $100 in airline incidental statement credits.
Eligible purchases include:
- Checked baggage fees
- Seat upgrades
- Airport lounge fees
- In-flight food and beverages
The credit does not cover airfare purchases or upgrades to premium cabins.
For many travelers, paying for just one checked bag on a round-trip flight can nearly offset the card’s $95 annual fee.
TSA PreCheck or Global Entry Credit
The card also reimburses up to $100 for either:
- TSA PreCheck
- Global Entry
This benefit is available every four years.
Since Global Entry includes TSA PreCheck, many travelers receive greater overall value by applying for Global Entry instead.
Spread across four years, this benefit adds roughly another $25 per year in value.
Built-In Travel Insurance
Travel protections are another major selling point.
Coverage includes:
- Trip delay protection
- Trip cancellation and interruption insurance
- Baggage delay reimbursement
- Lost luggage coverage
- Emergency evacuation coverage
These protections activate simply by paying for eligible travel with the card.
Auto Rental Coverage
When you use the card to rent a vehicle, you receive collision damage waiver coverage, allowing you to decline the rental company’s collision insurance in many situations.
Return Protection
If a retailer refuses to accept an eligible return within 90 days of purchase, Bank of America may reimburse you up to applicable coverage limits.
Bank of America Preferred Rewards Makes a Huge Difference
The real strength of this card comes from combining it with the Bank of America Preferred Rewards program.
Depending on your combined balances across eligible Bank of America and Merrill accounts, your earning rate increases substantially.
Member
No minimum balance required.
Rewards increase by 10%.
- Travel and dining: 2.2 points per dollar
- Everything else: 1.65 points per dollar
Gold Tier
Eligible balances between $20,000 and $50,000.
Rewards increase by 25%.
- Travel and dining: 2.5 points per dollar
- Everything else: 1.875 points per dollar
Platinum Tier
Eligible balances between $50,000 and $100,000.
Rewards increase by 50%.
- Travel and dining: 3 points per dollar
- Everything else: 2.25 points per dollar
Platinum Honors
Eligible balances between $100,000 and $1 million.
Rewards increase by 75%.
- Travel and dining: 3.5 points per dollar
- Everything else: 2.625 points per dollar
These higher earning rates dramatically improve the value of the card and make it much more competitive with other popular travel cards.
Annual Fee, APR, and Other Terms
The Bank of America Premium Rewards card has a $95 annual fee.
Unlike some competing cards, the fee is not waived during the first year.
The card also does not include a 0% introductory APR offer.
Purchases begin accruing interest immediately if you carry a balance, making this a card that’s best suited for people who pay their statement balance in full every month.
Using it as a financing tool quickly eliminates much of the value earned through rewards.
Bank of America Premium Rewards vs. Other Travel Cards
The Premium Rewards card competes directly with several popular mid-tier travel cards.
Chase Sapphire Preferred
The Chase Sapphire Preferred also charges a $95 annual fee.
It earns:
- 3x points on dining
- 2x on travel
- Higher rewards on travel booked through Chase Travel
Its biggest advantage is access to airline and hotel transfer partners, allowing experienced travelers to potentially receive well above 1 cent per point in value.
Capital One Venture Rewards
Capital One Venture also carries a $95 annual fee.
It earns:
- 2x miles on every purchase
- No foreign transaction fees
- Airline transfer partners
Its flat earning structure makes it attractive for people who don’t want to track spending categories.
American Express Gold
American Express Gold costs significantly more at $325 annually.
In exchange, it offers:
- 4x points at restaurants
- 4x points at U.S. supermarkets (up to annual spending limits)
- Dining credits
- Uber benefits
For frequent food and dining spenders, it can provide substantial value despite the higher fee.
Who Should Get This Card
The Bank of America Premium Rewards card makes the most sense if you:
- Fly multiple times each year
- Regularly pay checked bag fees or airline incidentals
- Want travel insurance included automatically
- Rent cars occasionally
- Travel internationally and want to avoid foreign transaction fees
- Qualify for Platinum or Platinum Honors status in the Bank of America Preferred Rewards program
- Prefer simple cash-value rewards instead of learning airline transfer strategies
For Preferred Rewards members, especially those with Platinum Honors status, the earning rates become extremely competitive.
Who Should Skip This Card
This card probably isn’t the right fit if:
- You rarely travel
- You won’t use the airline incidental credit
- You already maximize cards with airline transfer partners
- You don’t keep assets with Bank of America or Merrill
- You simply want flat-rate cashback
Without the Preferred Rewards multiplier, the card earns 2x on travel and dining and 1.5x on everything else—solid, but no longer exceptional compared to similarly priced competitors.
In that case, a no-annual-fee cashback card or a different travel rewards card may offer better overall value.
Apply Online to Receive the Best Offer
The 60,000-point welcome bonus is an online-only offer.
Applying through a Bank of America branch or by phone may not qualify you for the full promotional bonus.
If you’re interested in the current welcome offer, applying online through the official Bank of America website is generally the safest option.
Bank of America Premium Rewards Credit Card – Final Verdict
The Bank of America Premium Rewards Credit Card is a strong mid-tier travel card, but only for a specific type of user.
If you regularly travel, use the annual airline incidental credit, appreciate built-in travel protections, and qualify for the Bank of America Preferred Rewards program, the card can easily justify its $95 annual fee. The combination of elevated earning rates, travel insurance, Global Entry or TSA PreCheck reimbursement, and no foreign transaction fees creates a compelling package.
On the other hand, if you rarely fly or don’t have qualifying Bank of America or Merrill balances, the value proposition becomes much weaker. In that situation, a no-annual-fee cashback card or a travel card with transferable rewards may be a better long-term choice.
Ultimately, this is a card that rewards loyalty to Bank of America. For Preferred Rewards members who travel a few times each year, it can be one of the most valuable $95 travel cards available.
