The core benefit: cash back on travel and dining

The Bank of America Travel Rewards card returns 1.5 points per dollar spent on all purchases, with no category restrictions and no bonus categories to track. Those points convert to cash back at a fixed rate — currently 1 point equals 1 cent in value, so 1.5% cash back across the board. You redeem the points directly as a statement credit against your balance, or you can transfer them to a Bank of America rewards account and use them to book travel through their portal.

The flat-rate structure means you do not earn more for restaurants, flights, or hotels the way some travel cards do. If you spend heavily in those categories, a card with bonus categories might return more. But if your spending is mixed or you want one card that works everywhere without tracking categories, the 1.5% is straightforward.

Key Takeaways

  • The card earns 1.5% cash back on every purchase with no bonus categories, annual caps, or category rotation to manage.
  • You can redeem points as a statement credit, transfer them to a Bank of America rewards account, or book travel through their portal at the same 1 cent per point value.
  • The card has no annual fee, making the cash back earnings pure gain with no cost to offset.
  • Bank of America Preferred Rewards members earn bonus points — the exact bonus depends on your account tier and ranges from 25% to 75% additional points.

How the Bank of America Preferred Rewards bonus works

If you hold a Bank of America checking or savings account and enroll in their Preferred Rewards program, you earn a points multiplier on top of the base 1.5%. The multiplier depends on your account balance and direct deposits. At the lowest tier (Gold), you earn 25% more points. At the highest tier (Platinum), you earn 75% more points. This means your effective cash back rate can climb to 2.625% if you hit the Platinum tier.

The tiers are: Gold (at least $20,000 in combined Bank of America balances), Platinum ($50,000), and Platinum Honors ($100,000). The bonus applies automatically once you meet the threshold and enroll. If your balance drops below the tier requirement, you move down to the next lower tier, and the bonus adjusts accordingly.

Annual fee and other costs

The Bank of America Travel Rewards card has no annual fee. You pay nothing to hold the card, which means the 1.5% cash back is pure value — there is no fee to offset against your earnings.

You do pay interest if you carry a balance. The card's APR varies based on your creditworthiness and current market rates. There is no introductory 0% APR period, so interest accrues when ready on any balance you do not pay in full by the due date.

Redemption options and point value

You can redeem your points in three ways. The simplest is a statement credit — you request the points as a credit against your card balance, and they post within one to two business days. One point always equals one cent, so 10,000 points becomes a $100 credit.

You can also transfer points to a Bank of America rewards account and book travel through their portal. The portal includes flights, hotels, rental cars, and vacation packages from major providers. Points still convert at 1 cent per point, so there is no premium for booking through the portal — you get the same value as a statement credit.

A third option is to transfer points to certain airline and hotel partners, though this is less common with this card. The transfer partners and rates vary, and transfers are usually permanent, so confirm the rate before you move points.

Who this card works well for

The Travel Rewards card suits someone who spends across multiple categories and wants a single card without the mental load of tracking bonus categories. The flat 1.5% means you earn the same whether you are buying groceries, paying for gas, or booking a hotel.

It also works well if you are a Bank of America customer already. The Preferred Rewards bonus can push your effective rate to 2.625%, which is competitive with cards that offer 2% flat back. If you do not bank with Bank of America, the base 1.5% is still solid, but you lose the bonus multiplier.

The card is less ideal if you spend heavily in one category — say, $10,000 a year on flights. A card with a 3% or 5% bonus on travel would earn you more. But for balanced spending across categories, the simplicity and lack of annual fee make it a reasonable choice.

Comparing this card to other flat-rate options

Several other cards offer flat-rate cash back with no annual fee. The Citi Double Cash card returns 1% when you buy and 1% when you pay the bill, totaling 2% back. The Capital One SavorOne card returns 3% on dining and entertainment, 1% on all other purchases, and has no annual fee. The American Express Blue Cash Everyday returns 1% on all purchases, with no annual fee.

The Bank of America card's 1.5% flat rate sits between the Citi card's 2% and the American Express card's 1%. If you are not a Bank of America customer, the Citi card's 2% flat back edges ahead. If you are a Bank of America customer with a high Preferred Rewards tier, the bonus can close or exceed that gap.

Travel perks beyond cash back

The Bank of America Travel Rewards card includes some travel protections, though they are modest compared to premium travel cards. You get trip cancellation and interruption insurance, which covers prepaid, non-refundable trip costs if you cancel or cut short a trip for a covered reason. You also get lost luggage reimbursement and emergency medical and dental coverage while traveling outside the United States.

The card does not include travel insurance as rich as premium cards offer — no trip delay reimbursement, no baggage delay coverage, and no concierge service. If travel insurance is a priority, a premium card with an annual fee may offer more. But for basic protection, these perks add value at no cost.

Frequently Asked Questions

Can I use points to pay my statement balance directly?

Yes. You can redeem points as a statement credit, which reduces your balance. The points post within one to two business days. You can also set up automatic redemption to convert points to a credit each month, though you will need to check your account settings or call the card issuer to set that up.

Do I lose points if I close the card?

Points do not expire as long as your account is open. If you close the card, you have a window to redeem remaining points — typically 30 to 60 days, depending on Bank of America's policy at the time. Check your account or call before closing to confirm the redemption window.

What happens to my Preferred Rewards bonus if my balance drops?

Your bonus tier adjusts based on your current balance. If you drop below a tier threshold, you move down to the next lower tier and earn a lower bonus on new purchases. Points you already earned are not taken back — only future earnings are affected.

Does this card have a sign-up bonus?

Bank of America periodically offers sign-up bonuses on this card, but they are not permanent. Offers vary by time and by whether you are a new or existing customer. Check the Bank of America website or call their card services line to see what offer is current.

Can I transfer points to my spouse's account?

Points are tied to your account and cannot be transferred to another person. If you want to use points for a joint trip, you would need to redeem them as a statement credit on your card, then manage the payment separately.