Bank of America offers the BankAmericard Cash Rewards card, previously this was issue as a Visa and now it’s being issued as a Mastercard. Payment network changes like this are actually fairly common as card issuers negotiable themselves better deals. The reason why some people might care is that this card earns at the following rates:
- 1% cash back on every purchase
- 2% at grocery stores* and wholesale clubs*
- 3% on gas*
*for the first $2,500 in combined grocery/wholesale club/gas purchases each quarter
Don’t worry I haven’t gone crazy, I know those rates are not super attractive. They do get more attractive when you’re a preferred rewards customers, Platinum honors customers will get:
- 3.5% back on grocery store & wholesale clubs purchases
- 5.25% back on gas station purchases
Now obviously Costco only accepts Visa, so people with this card will lose their ability to earn 3.5% on those purchases. It’s worth remembering you can still purchase online using Mastercard though. It also isn’t clear if existing cardholders will be transferred over to the Mastercard, or if they will remain Visa cardholders.
Hat tip to reader PT
