Bank of America (BAC) on Wednesday introduced a new loyalty program to increase client engagement.
The no-fee program, called BofA Rewards, is available to any client with a BofA personal checking account, requires no minimum balance, and is “designed to reward and recognize clients for their full relationship across their Bank of America banking and Merrill investing accounts,” the company said.
Starting on May 27, millions of clients will be eligible for the program that offers such benefits as credit cards, cash-back deals, banking services, and curated experiences. Based on clients’ membership tier and program engagement, the BofA Rewards benefits can range from $150 to $4,000 in annual value per person.
Bank of America (BAC) said more than 30M existing clients are currently eligible for the program. While there’s no minimum balance to join the program, balance amounts do determine a client’s membership tier — Member tier: less than $30K; Preferred Plus tier: $30K to less than $100K; Preferred Honors tier: $100K to less than $1M; and Premier tier: $1M and above.
The program is meant to provide reward offerings to recognize clients’ goals at every life stage, BofA said. Rewards include credit card reward bonuses of 10%-75% on everyday purchases with eligible credit cards, cash-back deals on more than 15K brands, exclusive discounts on home and auto loans, and enhanced fraud and identity monitoring.
Preferred Honors and and Premier tier members can get reimbursed for popular subscriptions from streaming, entertainment, and news services, with credits of up to $96 per year for Preferred Honors and up to $180 per year for Premier tier members.
Bank of America (BAC) stock rose 1.0% in Wednesday afternoon trading.