Bank of America Unlimited Cash Rewards vs. Chase Freedom Unlimited
Other credit cards that carry higher cash back rates with bonus categories, like the Chase Freedom Unlimited, may be more valuable to certain cardholders. Deciding between both will depend on how much you spend, where you spend it and if your spending weighs toward specific categories.
The Bank of America Unlimited Cash Rewards card is ideal for people who cast a wide net on spending and can benefit most from earning on all purchases. The Chase Freedom Unlimited is one of the most lucrative rewards cards available if you spend highly on travel and are a fan of Chase’s Ultimate Rewards portal. Both cards are fairly cost-effective since neither has an annual fee and the barrier of entry is the same for both cards. You’ll need at least good to excellent credit for feasible approval (a score between 670 and 850 on the FICO scale).
When it comes to getting a break on interest, the Bank of America Unlimited Cash Rewards is the better choice. The card’s intro APR offers on both balance transfers and purchases are three months longer than the Chase Freedom Unlimited card’s offer. The ongoing APR is also slightly lower for the Bank of America Unlimited Cash Rewards, though it would still be fairly costly to carry a balance on either card once the APR offers end. It’s also worth noting that even though Chase will reward you higher for travel purchases through the Chase Ultimate Rewards portal, the card still charges a foreign transaction fee. That makes it a less ideal payment option once you reach any international destination.
The deciding factor between these cards is your spending habits. If you spend broadly across categories and you’re able to qualify for Preferred Rewards, the Bank of America Unlimited Rewards card can be more valuable. If you want to earn a higher rewards rate in key spending categories like travel and dining, you may earn more with the Chase Freedom Unlimited.
Bank of America Unlimited Cash Rewards vs. Bank of America Customized Cash Rewards
The Unlimited Cash Rewards card’s sibling, the Bank of America® Customized Cash Rewards credit card, may earn more cash back based on your spending habits. Plus, you’ll have more flexibility with customized rewards than with a different tiered rewards card.
Bank of America lets you choose one of the 3 percent cash back categories that can be swapped each month, while rewarding 2 percent back at grocery stores and wholesale clubs. The only drawback is that your 3 percent and 2 percent categories share a $2,500 quarterly spending limit, after which you’ll earn 1 percent back. Even so, maxing out these categories (with the remaining spend earning 1 percent) would net you $359 per year. You’d need to spend about $8,034 more per year to earn that much cash back with the Unlimited Cash card.
If you value a bit more flexibility and autonomy when it comes to where you earn the most on your spending, we’d recommend going with the Customized Cash Rewards card, as you’ll be able to pick your highest-earning spending category from the eligible options. You’d also benefit even more if you qualify for Preferred Rewards, as this perk extends to both the Customized Cash Rewards and the Unlimited Cash Rewards cards. Both cards have the same ongoing APR and the same intro APR offers, so you won’t see much difference between cards when it comes to carrying a balance. Again, if you want to earn a bit more across all of your purchases, with no spending caps to worry about, the Unlimited Cash Rewards may be the better choice for you.
Best cards to pair with this card
In order to maximize your flat-rate cash back card, your best move would be to pair it with a credit card that earns higher cash back on your most popular bonus categories. If you bank with Bank of America or are a Preferred Rewards member, the Customized Cash Rewards card is a prime partner. Its choice category flexibility allows you to squeeze the most cash back from your biggest expenses, while the Unlimited Cash card can earn more cash back on purchases outside your categories or beyond the quarterly spending cap.