Bank of America Corporation
) launched a new credit card - BankAmericard Better Balance
Rewards card. The card offers customers a reward of up to $100
yearly for efficient management of their credit card payments per
month. The card, which does not charge a monthly fee, will be
made available to the customers this week through the bank
branches as well as online.
BANK OF AMER CP (BAC): Free Stock Analysis
BANKUNITED INC (BKU): Free Stock Analysis
FIFTH THIRD BK (FITB): Free Stock Analysis
STATE ST CORP (STT): Free Stock Analysis
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The primary benefits of the card include a quarterly cash reward
of $25 if payments are made on a timely basis and when a sum more
the outstanding amount is paid. Moreover, customers having a
checking or savings account with the bank can gain an additional
$5 bonus reward payment per quarter.
Additionally, customers have the option to have their cash
rewards credited to their card balance or deposited into their
checking or savings account in BofA or a Merrill Lynch Cash
Management at BofA believes that the new credit card will be
useful to the consumers who, by paying more than the minimum
amount due each month, can help pay off the debt faster. With the
reward points and added bonus, BofA seeks to reward its existing
customers and attract newer ones.
With the issuance of new credit cards, BofA is trying to capture
a huge share of the ever-growing credit card market. By offering
bonus rewards, it is eyeing a significant increase in its
deposits, which was affected by its plans to charge customers for
debit card usage.
BofA currently retains its Zacks Rank #3. Other major banks that
are performing better than the company include
State Street Corporation
Fifth Third Bancorp
). Among these, BankUnited carries a Zacks Rank #1 (Strong Buy)
and the other two carry a Zacks Rank #2 (Buy).