Introduction
Choosing the right credit card can be a daunting task with so many options available in the market. Two popular choices among consumers are the Bank of America Premium Rewards and Travel Rewards credit cards. In this article, we will compare and contrast these two cards to help you make an informed decision.
Annual Fees
One of the first factors to consider when choosing a credit card is the annual fee. The Bank of America Premium Rewards card has an annual fee of $95, while the Travel Rewards card has no annual fee. Depending on your spending habits and preferences, you can decide which card suits you best.
Sign-up Bonus
Both cards offer attractive sign-up bonuses to new cardholders. The Bank of America Premium Rewards card offers a bonus of 50,000 points after spending $3,000 in the first 90 days, while the Travel Rewards card offers 25,000 points after spending $1,000 in the first 90 days. If you are a frequent traveler and can meet the higher spending requirement, the Premium Rewards card might be the better choice.
Earning Rates
When it comes to earning rewards, the Premium Rewards card offers more competitive rates. Cardholders earn 2 points per dollar spent on travel and dining, and 1.5 points per dollar on all other purchases. On the other hand, the Travel Rewards card offers 1.5 points per dollar spent on all purchases. If you spend a significant amount on travel and dining, the Premium Rewards card can help you accumulate rewards faster.
Redemption Options
Both cards provide flexibility in redeeming rewards. With the Premium Rewards card, you can redeem points for travel, cash back, or gift cards. The Travel Rewards card focuses primarily on travel redemption options, allowing you to book flights, hotels, or car rentals. If you are a frequent traveler, the Travel Rewards card may offer more value.
Travel Benefits
The Premium Rewards card offers several travel benefits that are not available with the Travel Rewards card. These include up to $100 airline incidental statement credit per year, priority boarding, and no foreign transaction fees. If you frequently travel internationally, the Premium Rewards card can save you money on fees and enhance your travel experience.
Foreign Transaction Fees
If you often make purchases outside of the United States, it’s important to consider the foreign transaction fees. The Premium Rewards card has no foreign transaction fees, making it a suitable choice for international travelers. The Travel Rewards card, however, charges a 3% foreign transaction fee on all purchases made abroad.
Customer Service
Bank of America is known for its excellent customer service. Both cards offer 24/7 customer support and online access to manage your account. However, the Premium Rewards cardholders receive a higher level of customer service with access to a dedicated customer service line.
Conclusion
Choosing between the Bank of America Premium Rewards and Travel Rewards credit cards depends on your spending habits and travel preferences. If you value a higher earning rate, travel benefits, and have a higher budget for annual fees, the Premium Rewards card might be the right choice for you. On the other hand, if you prefer a no annual fee card with a lower spending requirement for the sign-up bonus, and primarily focus on travel redemptions, the Travel Rewards card might be more suitable. Consider your priorities and make an informed decision to maximize the benefits of your credit card.