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NEW: Bank of America Unleashes 6% Cash Back (Starting June 1, 2025)
July 1, 2025
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Bank of America just made a major move in the cash back credit card space. Starting June 1, 2025, new cardholders of their Customized Cash Rewards and Unlimited Cash Rewards cards will earn double their normal cash back rates for an entire year. That's 6% cash back in your choice category and 2% back on everything—rates that rival premium cards with annual fees, but these have $0 annual fees.
If you've been on the fence about getting a new cash back card, this limited-time offer makes these two Bank of America cards serious contenders worth your attention.
What's New: The 6% Cash Back Offer Explained
Bank of America announced this promotion on May 16, 2025, with the enhanced rates going live June 1. Here's what makes this offer compelling:
For the Bank of America® Customized Cash Rewards Credit Card:
[[ SINGLE_CARD * {"id": "188", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "2% on Grocery Stores, Wholesale Clubs"} ]]
For the Bank of America® Unlimited Cash Rewards Secured Credit Card:
[[ SINGLE_CARD * {"id": "7443", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "1.5% on Everywhere"} ]]
After your first year, these rates revert to the standard 3% and 1.5% respectively. But that first year? You're earning premium-level rewards without paying premium-level fees.
Deep Dive: Bank of America Customized Cash Rewards
The Customized Cash Rewards card gives you flexibility with its choice category. You can pick from:
- ⛽ Gas & EV charging stations
- 🛒 Online shopping (including cable, internet, phone plans, and streaming)
- 🍽️ Dining
- ✈️ Travel
- 💊 Drug stores
- 🏠 Home improvement and furnishings
The catch? You earn a higher cash back on up to $2,500 in combined quarterly spending in your choice category and at grocery stores/wholesale clubs. After hitting that cap, you earn a lower cash back on everything.
The flexibility: You can switch your choice category once per month, letting you adapt to your spending patterns throughout the year.
Deep Dive: Bank of America Unlimited Cash Rewards
The Bank of America® Unlimited Cash Rewards Secured Credit Card takes a simpler approach: earn cash back on absolutely everything for your first year. No categories to track, no quarterly caps to worry about, no mental math required.
Who should choose this card?
- People who want simplicity over optimization
- Those who don't have heavy spending in any single category
- Anyone who finds category tracking tedious
Who Should Get These Cards?
✅ You should apply if:
For Customized Cash Rewards:
- You have heavy spending in one of the six choice categories
- You can hit the $2,500 quarterly cap in combined choice + grocery spending
- You want flexibility to switch categories monthly
- You're comfortable with a bit of category management
For Unlimited Cash Rewards:
- You want a simple, set-it-and-forget-it cash back strategy
- Your spending is spread across many categories
- You value simplicity over slightly higher category rates
- You spend enough that 2% everywhere beats juggling multiple cards
⚠️ You might want to wait if:
- You already have strong cash back cards and are under 5/24
- You're planning a major signup bonus chase
- You prefer travel points over cash back
- You won't spend enough to hit the $1,000 welcome bonus threshold
How to Maximize Your First-Year Earnings
The key to maximizing these cards is strategic timing and intentional spending.
Strategy 1: Front-Load Your Spending
The quarterly cap on the Customized Cash Rewards card means you can earn in your choice category. To maximize:
- Choose your highest-spend category
- Concentrate eligible purchases on this card
- Track your quarterly spend to hit exactly $2,500
- Switch categories if your spending patterns change
Strategy 2: Use Kudos to Never Miss the Best Rate
Kudos automatically tells you which of your cards earns the most for each purchase. When you have the Bank of America card alongside your other cards, Kudos ensures you're always using the right card at the right time—without the mental burden of tracking categories yourself.
How These Cards Compare to Top Competitors
To give you perspective, here's how Bank of America's promotion stacks up against other top cash back cards:
1. Citi Custom Cash® Card
[[ SINGLE_CARD * {"id": "2885", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "Flexible Cash Back Card"} ]]
2. Chase Freedom Flex®
[[ SINGLE_CARD * {"id": "2883", "isExpanded": "true", "bestForCategoryId": "52", "bestForText": "No-Fee Card Seekers", "headerHint" : "No Annual Fee" } ]]
3. Capital One SavorOne Rewards Credit Card
[[ SINGLE_CARD * {"id": "18233", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Everyday Spenders", "headerHint": "8% at Capital One Entertainment Portal"} ]]
4. Wells Fargo Active Cash® Card
[[ SINGLE_CARD * {"id": "2894", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "0 Annual Fee"} ]]
5. Blue Cash Everyday® Card from American Express (See Rates & Fees)
[[ SINGLE_CARD * {"id": "260", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Reward Seekers", "headerHint": "Cash Back Rewards Program"} ]]
Bottom line on comparisons: For your first year, Bank of America's rates are tough to beat among no-annual-fee cards. The Customized Cash Rewards' cash back choice category is industry-leading for that timeframe.
How Kudos Helps You Maximize These Cards
Getting a great cash back card is step one. Actually using it optimally is step two—and that's where most people leave money on the table.
The average Kudos user with 2–3 cards misses out on $441 annually in extra rewards joinkudos simply by using the wrong card for purchases. Kudos solves this by:
🎯 Automatic Best-Card Selection
Before you checkout online, Kudos instantly calculates which of your cards will earn the most for that specific purchase. No mental math, no category checking, no guesswork.
📊 Benefit Tracking
Kudos tracks your spending against quarterly caps and credit limits, ensuring you never waste the 6% rate by going over the $2,500/quarter threshold without realizing it.
💡 Strategic Recommendations
Based on your actual spending patterns, Kudos can suggest whether the Customized or Unlimited card makes more sense for you—or if you should get both and use each for specific purchase types.
🔔 Expiring Credit Alerts
Many cards (including some Bank of America cards) come with statement credits that expire. The average Kudos user forgets to redeem $624 in card benefits each year. joinkudos Kudos makes sure you never leave these benefits unused.
Sign up for Kudos for free to start maximizing your Bank of America cards automatically.
Frequently Asked Questions
Do existing Bank of America cardholders get the 6% rate?
No, this promotion is only for new cardholders who apply for the cards starting June 1, 2025. Existing cardholders continue earning at their standard rates.
Can I get both cards?
Yes! Many people get both—using the Customized Cash Rewards for category spending and the Unlimited Cash Rewards for everything else. Just be strategic about which card you apply for first to maximize your welcome bonuses.
What happens after the first year?
Your earning rates drop to the standard level. Your cash back doesn't expire as long as your account remains open.
How does the $2,500 quarterly cap work?
The cap applies to combined spending in your choice category AND at grocery stores/wholesale clubs.
Can I switch my choice category mid-quarter?
Yes, you can switch once per month. However, your quarterly spending cap still applies to the combined total across all categories you've selected that quarter.
Does the $200 welcome bonus count toward my spending cap?
No, welcome bonuses are separate from your ongoing earning structure. The $200 bonus is earned by spending $1,000 in 90 days, independent of your quarterly category caps.
Is there a foreign transaction fee?
Yes, Bank of America charges a 3% foreign transaction fee on both cards. If you travel internationally frequently, you may want to pair these with a no-foreign-transaction-fee card.
Bottom Line: Is This Offer Worth It?
Bank of America's promotion is one of the most aggressive cash back offers we've seen from a major bank in recent years. Here's the final verdict:
✅ You should definitely apply if:
- You can spend $1,000 in 90 days to get the welcome bonus
- You spend heavily in one of the six choice categories
- You don't already have better cash back coverage
- You want a simple card with no annual fee
💰 The math makes sense when:
- You can hit close to the $2,500 quarterly cap on Customized Cash Rewards
- You'd earn at least $600+ in your first year (which is easy with normal spending)
- You value cash back over travel rewards
⏰ Time-sensitive considerations:
This is a limited-time promotion for new cardholders. While Bank of America hasn't announced an end date, promotional rates like this typically don't last forever. If you've been considering a new cash back card, waiting could mean missing out on the doubled first-year rates.
🎯 Pro tip:
Apply for the card that best matches your highest spend category, then use Kudos to ensure you're always using it (and your other cards) optimally. The combination of a strong card + smart automation is how you turn good offers into great results.
Explore these cards on Kudos to see personalized recommendations based on your spending.
Unlock your extra benefits when you become a Kudos member
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Editorial Disclosure: Opinions expressed here are those of Kudos alone, not those of any bank, credit card issuer, hotel, airline, or other entity. This content has not been reviewed, approved or otherwise endorsed by any of the entities included within the post.
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