Our Verdict
Students who want to maximize rewards and are willing to tolerate a card with a more complex system of cash-back rewards may opt for the Bank of America® Customized Cash Rewards credit card for Students, which earns 3% cash back in the category of choice and an automatic 2% at grocery stores and wholesale clubs. Bonus earning is limited to the first $2,500 in the 3% and 2% categories combined each quarter. Earn an unlimited 1% on all other purchases.
The card also offers a solid welcome bonus and introductory APR. Better yet, the card has no annual fee, making the card an all-around solid choice for students interested in earning cash back while building good credit history.
Pros
- Free FICO® Score access
- Intro APR offer with a generous term
- Competitive cash-back reward rates
- Solid welcome bonus
Cons
- 3% foreign transaction fee
- Higher penalty APR applies to late payments
Highlights
- $200 online cash rewards bonus after you make at least $1,000 in purchases in the first 90 days of account opening.
- Earn 3% cash back in the category of your choice, automatic 2% at grocery stores and wholesale clubs (up to $2,500 in combined choice category/grocery store/wholesale club quarterly purchases) and unlimited 1% on all other purchases.
- Choose 3% cash back on gas and EV charging station, online shopping/cable/internet/phone plan/streaming, dining, travel, drug store/pharmacy or home improvement/furnishings purchases.
- No annual fee and cash rewards don’t expire as long as your account remains open.
- 0% Intro APR for 15 billing cycles for purchases, and for any balance transfers made in the first 60 days. After the Intro APR offer ends, a Variable APR that’s currently 19.24% – 29.24% will apply. A 3% Intro balance transfer fee will apply for the first 60 days your account is open. After the Intro balance transfer fee offer ends, the fee for future balance transfers is 4%.
- When handled responsibly, a credit card can help you build your credit history, which could be helpful when looking for an apartment, a car loan, and even a job. Access your FICO® Score for free within Online Banking or your Mobile Banking app.
- Contactless Cards – The security of a chip card, with the convenience of a tap.
- This online only offer may not be available if you leave this page or if you visit a Bank of America financial center. You can take advantage of this offer when you apply now.
Introduction
With the Bank of America® Customized Cash Rewards credit card for Students, you’ll earn 3% cash back in the category of choice and an automatic 2% at grocery stores and wholesale clubs. Bonus earning is limited to the first $2,500 in the 3% and 2% categories combined each quarter. Earn an unlimited 1% on all other purchases. The categories of choice are gas, online shopping, dining, travel, drug stores or home improvement/furnishings and can be changed once each calendar month via the Bank of America Mobile App or Online Banking.
The card is a useful starter cash-back card, but fails to deliver when it comes to extra benefits. It integrates standard features like paperless statements, online banking and mobile app account management, contactless payment and digital wallet technologies, but doesn’t provide anything extra to sweeten the deal in the benefits area.
Interestingly, the card also offers an uncommon feature in a student card: an introductory APR offer. Cardholders receive a 0% introductory APR for 15 billing cycles on purchases and balance transfers made in the first 60 days, after that a variable APR of 19.24% - 29.24% applies. There's a 3% balance transfer fee for 60 days from account opening, then 4%. Those considering using the card to transfer balances should note the balance transfer fee, so we recommend doing the math to make sure a transfer makes sense.
Quick Facts
- No annual fee
- Choose the top-earning 3% cash-back category from several categories
- Welcome bonus: $200 cash rewards bonus after making at least $1,000 in purchases in the first 90 days of account opening
- Comes with an introductory APR offer
Bank Of America Customized Cash Rewards for Students Credit Card Rewards
Earning Rewards
This card earns rewards at the following rates: 3% cash back in the category of choice and an automatic 2% at grocery stores and wholesale clubs. Bonus earning is limited to the first $2,500 in the 3% and 2% categories combined each quarter. Earn an unlimited 1% on all other purchases.
After hitting the $2,500 combined spending threshold on the 3% category of choice and grocery store and wholesale club purchases each quarter, cardholders will only earn 1% in these categories.
The 3% cash-back category options are fairly broad. Categories include EV stations and gas, online shopping, dining, travel, drug stores or both home improvement and furnishings. Category swapping is possible once per calendar month online or via mobile app and defaults to gas.
An additional reward to consider is the welcome offer: $200 cash rewards bonus after making at least $1,000 in purchases in the first 90 days of account opening.
Redeeming Rewards
Bank of America makes redeeming rewards fairly straightforward while still providing a variety of options. Cardholders can select how they’d like to receive rewards:
- As a statement credit of any amount
- As a direct deposit into a Bank of America checking or savings account of any amount
- As a check, with minimum redemption of $25
- As a contribution to a 529 account with Merrill, with minimum redemption of $25
Account holders can also set up automatic redemptions to either a Bank of America or Merrill account, given that redemptions are worth at least $25. No other redemption methods qualify for automation.
Rewards don’t expire unless the account is closed.
Rewards Potential
To estimate this card’s rewards potential, we have to make some assumptions about a typical college student’s expenses. Forbes Advisor made estimations based on research from various government agencies.
The Bank of America Customized Cash Rewards credit card for Students earns 3% cash back in a chosen category. To maximize earnings, we chose dining, for which we estimate the typical college student spends $1,574 per year.
Introductory Rates
The Bank of America Customized Cash Rewards for Students offers a 0% introductory APR for 15 billing cycles on purchases and balance transfers made in the first 60 days, after that a variable APR of 19.24% - 29.24% applies. There's a 3% balance transfer fee for 60 days from account opening, then 4%.
Other Bank Of America Customized Cash Rewards for Students Credit Card Benefits
- $0 fraud liability. Cardholders aren’t responsible for unauthorized transactions.
- Contactless chip technology. Fast and easy card use where available.
- Paperless statement option. Go green; receive statements digitally.
- FICO Score. Monthly FICO Score update online or via mobile app.
- Account alerts. Configurable account change alerts via email, text and mobile app.
- Online and mobile banking. Mobile apps allow users to view transactions, pay bills and transfer funds.
- Digital wallet technology. Use the card with Apple Pay, Google Pay or Samsung Pay.
Fine Print
Interest Rates
- Regular APR: 19.24% - 29.24% Variable APR on purchases and balance transfers
- Purchase intro APR: 0% Intro APR for 15 billing cycles for purchases
- Balance transfer intro APR: 0% Introductory APR for 15 billing cycles for any balance transfers made in the first 60 days
Fees
- Annual fee: $0
- Balance transfer fee: 3% for 60 days from account opening, then 4%
- Foreign purchase transaction fee: 3%
How the Bank of America Customized Cash Rewards for Students Credit Card Stacks Up
Bank of America® Customized Cash Rewards credit card for Students vs. Bank of America® Travel Rewards credit card for Students
Students who plan to travel abroad may prefer the Bank of America® Travel Rewards credit card for Students. The Travel Rewards for Students card offers a straightforward and unlimited 1.5 points per dollar on all purchases everywhere, every time with no expiration on points as long as your account remains open, and a welcome bonus: 25,000 online bonus points after spending $1,000 in purchases in the first 90 days of account opening. Given our typical student spending, this card will likely be a better rewards earner.
The points earned with the Travel Rewards for Students card can be redeemed for a statement credit against travel purchased any way you’d like without being limited to specific airlines or restricted by blackout dates. The card offers the same 0% introductory APR for 15 billing cycles on purchases and balance transfers made within 60 days of opening the account. After that, a standard APR of 19.24% - 29.24% variable on purchases and balance transfers will apply. A 3% fee applies to all balance transfers for 60 days from account opening, then 4%. Even better, the Travel Rewards for Students doesn’t charge foreign transaction fees.
Bank of America® Customized Cash Rewards credit card for Students vs. Discover it® Student Cash Back
The Discover it® Student Cash Back offers a slightly different cash-back structure, earning 5% cash back on everyday purchases at different places each quarter like grocery stores, restaurants, gas stations and more, up to the quarterly maximum once activated. Plus, automatically earn unlimited 1% cash back on all other purchases. With Unlimited Cashback Match™ - Discover will match all the cash back you’ve earned at the end of your first year. There's no minimum spending or maximum rewards.
Like the Bank of America® Customized Cash Rewards credit card for Students, the Discover it® Student Cash Back delivers a maximum of $300 per year of cash back from its bonus categories. Which card is better will depend on your spending habits. But the welcome bonus may tip the scales. Bank of America’s Customized Cash Rewards is static, but the Discover it® Student Cash Back will match all cash back earned at the end of the first year.
Bank of America® Customized Cash Rewards credit card for Students vs. Capital One SavorOne Student Cash Rewards Credit Card
If an introductory APR on purchases and balance transfers isn’t of much importance to you, the Capital One SavorOne Student Cash Rewards Credit Card (rates & fees) may be a contender.
While this card lacks the promotional APR you’ll find with the Bank of America® Customized Cash Rewards credit card for Students, it shines with its impressive rewards earnings, which are unlimited and not capped at a quarterly spending threshold. Cardholders earn 10% cash back on purchases made through Uber & Uber Eats through 11/14/2024, 3% cash back on dining, entertainment, popular streaming services and grocery stores (which excludes superstores like Walmart® and Target®), 5% cash back on hotels and rental cars booked through Capital One Travel, 8% cash back on Capital One Entertainment purchases, and 1% on all other purchases.
The Capital One SavorOne Student Cash Rewards Credit Card also comes with no annual fee and no foreign transaction fees. New cardholders can earn a welcome bonus of $50 after spending $100 in the first three months. While this isn’t as large as the welcome bonus on the Bank of America Customized Cash Rewards card, college students with minimal expenses may find it more attainable.
Compare Bank Of America Customized Cash Rewards credit card for Students With Other Cards
Is the Bank of America Customized Cash Rewards for Students Credit Card for You?
The Bank of America® Customized Cash Rewards credit card for Students could be a logical fit for students seeking a rewarding way to build credit, learn healthy spending and credit habits and who aren’t interested in seeing those rewards limited to travel.
With its category-based rewards structure, solid welcome bonus and a nice introductory APR period, the Customized Cash Rewards for Students card can be a great building block for a student to build credit while learning how to manage their spending.
Methodology
Forbes Advisor considers a variety of criteria when assigning credit cards a rating. Cards are graded based on numerous factors, including:
- Annual fees
- Welcome bonus offers
- Ongoing earning rates
- Value of individual points or miles
- Included travel or merchant credits
- Additional cardholder benefits
Card features we expect cardholders to use the most often are weighted more heavily in our ratings. Altogether, the factors came together to provide a star rating for each individual card.
Read more: How Forbes Advisor Rates Credit Cards
