Bank of America to Enter the Premium Credit Card Market

For some time now, there's been rumblings of Bank of America entering the Premium Credit Card arena. Until recently, those rumblings haven't provided much substance as to what the card will offer, but it seems now, those whispers are more tangible than before.

The good DoC reports the new card will carry a $95 annual fee, which will be offset by a $100 annual travel credit and Global Entry/TSA Pre-Check reimbursement. The card will also carry a 50,000 point sign-up bonus, 2x points on travel and restaurant spend, and 1.5x points on all other qualifying purchases.

On the surface, this doesn't seem like an overwhelmingly useful card. While it is definitely worth applying for and canceling after year one, it's other offerings are matched and beaten by many other credit cards already on the market.

If, however, you happen to be a Bank of America Preferred Rewards customer, this card becomes much more enticing. Each tier of the Preferred Rewards program offers a boost in the bonus earned for each category, meaning Preferred Rewards customers can earn up to 3.5x points on travel and restaurant purchases, as well as 2.625x points on all other purchases.

So, when paired with the Bank of America Preferred Rewards program, this card actually becomes one of the best everyday spend (though still probably not premium) credit cards out there. At the very least, however, if you're over 5/24, it's still probably worth a year of your time, once it hits the market.