Bank of America launched the Better Balance Rewards MasterCard today, a card that pays you for paying your bill on time each month and paying above the minimum payment.
Unlike other rewards cards, the Better Balance Rewards credit card doesn’t pay cash back on purchases, but instead pays you $25 per calendar quarter if you’ve paid your bill on time each month and have also paid above the minimum payment. You can earn $100 per year, or you can even earn $120 per year (an extra $5 per quarter) if you have other Bank of America accounts besides the Better Balance card.
While the card is rewarding you for paying on time and keeping your credit card balance in check, it may also be attractive if you don’t charge large amounts each year but would like more rewards. For example, to earn $100 in cash back with most rewards credit cards, you would have to charge $10,000 in purchases on your card. (This is assuming a 1% cash back rate, which is the most common cash back formula.)
The Bank of America Better Balance Rewards Card offers an interest rate of 11.99% – 21.99% depending on your credit history. It also offers a 0% rate on purchases and on balance transfers for the first 12 months you have the card.
For more info on the Better Balance rewards card, and/or to apply online, click here.